Semi-Annual Report

18th Fiscal Period

for theFrom February 1, 2019 to July 31, 2019For a Superior Level of Living Comfort

1- 1 Minami-Aoyama 1-chome, Minato-ku, Tokyo https://www.comforia-reit.co.jp/en/

I. Overview of the Investment Corporation
Greetings
We are pleased to inform you that Comforia Residential REIT, Inc (the “Investment
Corporation”) successfully closed all accounts for the 18th Fiscal Period (fromFebruary 1, 2019 to July 31, 2019). We would like to thank all of our unitholders
and stakeholders for their continued support and cooperation.
We hereby report on the asset management overview and results for the 18th
Fiscal Period.
During the 18th Fiscal Period, we acquired COMFORIA SHIBUYA WEST and eight
other properties between February and April 2019 through a public offering for thesixth consecutive year since listing, as well as borrowings. Furthermore, we acquired
COMFORIA TAMA-PLAZA in March 2019 through borrowings and sold COMFORIA
KITAHORIE in July 2019 in an effort to improve the quality of our portfolio.

For a Superior Level of Living Comfort
COMFORIA is the name we have given to the urban rental residences
produced by the Tokyu Land Corporation. The word COMFORIA is a compound that
we coined from “comfort,” and “ia,” a Latin suffix meaning “place.”
The idea that residences are not just containers has given birth to
our COMFORIA series of rental residences made specifically for people
who wish to live freely and affluently in urban communities.
We invest in and manage the urban exclusive rental residence COMFORIA series,
which Tokyu Land Corporation has produced, to maximize our unitholders’ value.

Comforia Residential REIT, Inc

Takehiro Izawa
Executive Director (center)

Yoshihiro Kataoka

As a result, our portfolio as of the end of the 18th Fiscal Period stood at 126 propSupervisory Director (left)erties, with a total acquisition price of ¥225.9 billion. The average occupancy rate
Koji Yamamoto
Supervisory Director (right)
for the 18th Fiscal Period remained high at 96.9%. The Investment Corporation
had ¥8,652 million in operating revenue, ¥3,978 million in operating profit, and¥3,448 million in profit, all of which exceeded our forecasts, resulting in a distribution per unit (DPU) of ¥5,180.
Furthermore, after the end of the 18th Fiscal Period, we also acquired COMFORIA GINZA EAST NIBANKAN in September
2019 with our own funds, resulting in an asset size of 127 properties with a total acquisition price of ¥228.3 billion (as of
September 30, 2019). We intend to continue to make selective investments in high-quality properties mainly in the Tokyo
23 wards.
Under our basic policies of “investments in residential properties with stable earnings and high growth potential” and“utilization of the Tokyu Fudosan Holdings Group,” we are carrying out investment in and management of rental residences, mainly in the Tokyo metropolitan area, targeting singles and small families, based on the concept and know-how
of the urban rental residence Comforia series, which Tokyu Land Corporation has produced. In the next fiscal period
onward, we will continue to aim to achieve stable earnings and ensure the steady growth of our managed assets basedon medium- and long-term perspectives to maximize unitholders’ value. Your continued support and cooperation arehighly appreciated.

Financial Highlights
Operating revenue¥ 8,652 million
Operating profit¥ 3,978 million
Profit¥ 3,448 million
Distribution per unit (DPU)¥ 5,180
50.1 %
Total loan to value (LTV)

Number of properties
Acquisition priceAppraisal value
Occupancy rate at the 18th
Fiscal Period-end
Average occupancy rate

126 properties¥ 225.9 billion¥ 272.4 billion
97.0 %
96.9 %

Contents
I. Overview of the Investment Corporation
Greetings/Financial Highlights ........................................................................................ 1	Sustainable Growth in Asset Size and DPU .............................................................. 2
Selective Investments with Portfolio Quality in Mind ....................................... 4External Growth Results ....................................................................................................... 6
Internal Growth Results ........................................................................................................ 8
Financial Strategy ................................................................................................................... 10
Sustainability Initiatives ...................................................................................................... 11
Portfolio Map ............................................................................................................................ 14
Portfolio Ranking .................................................................................................................... 16
Basic Policies .............................................................................................................................. 18	Overview of the Investment Corporation andAsset Management Company ....................................................................................... 19

II. Asset Management Report ............................................................................ 20
III. Financial Section ................................................................................................ 50
Balance Sheets ......................................................................................................................... 50
Statements of Income ......................................................................................................... 52
Statements of Changes in Unitholders’ Equity .................................................... 53
Statements of Cash Distributions ................................................................................ 54
Statements of Cash Flows ................................................................................................ 55
Notes .............................................................................................................................................. 56
Supplementary Schedules ............................................................................................... 66
Independent Auditor’s Report ....................................................................................... 72

1

Sustainable Growth in Asset Size and DPU
During the 18th Fiscal Period, the Investment Corporation implemented public offering for the sixth consecutive year
since listing in February 2019 and acquired nine properties with funds procured through the public offering as well as
borrowings. Furthermore, it acquired one property and sold one property between March and July 2019 through theAsset Management Company’s original information routes. In addition, it acquired one property in September after entering the 19th Fiscal Period.
The Investment Corporation will keep promoting external growth by continuing to invest selectively in high-quality properties mainly in Tokyo 23 wards, focusing on the collaboration with our sponsor group, as well as original sourcing by TLC
REIT Management Inc., while seeking expansion of the asset size and stable distribution levels.

Future Strategy

Selective Investments Mainly in Tokyo 23 Wards (As of September 30, 2019)
Historical asset size

(Billions of yen)200

Over around 6.5 years
since listing, achieved
approximately

3.2-fold growth

Acquired
Acquired
COMFORIACOMFORIA
KANDAJINBOCHO AZABU EAST andand 11 otherone other property,
properties
sold two properties

Acquired
COMFORIA
ICHIGAYAYAKUOJI
and two otherproperties

202.1

164.4
146.5

Acquired
COMFORIA
SHIBAURA

228.3
225.9

187.4

Acquired COMFORIA
Acquired
COMFORIA KUDAN KOMABA and one
other property
and 24 otherproperties

150

Acquired
COMFORIA
SHINJUKU EASTSIDETOWER and threeother properties

Acquired
COMFORIA
AKIHABARA EAST
and eight otherproperties

Acquired
Acquired
COMFORIAGRANCREER
SETAGAYAKAMIUMA CENTER-MINAMI
and six otherand sold one
properties,
property
sold one property

Acquired
COMFORIA SHIBUYAWEST and 9 otherproperties, sold one
property

Acquired
COMFORIA GINZA
EAST NIBANKAN

Aim for an asset size of¥300 billion while
maintaining a portfoliowith properties mainlyin the Tokyo 23 wards

206.0

188.5

168.0

146.7
Tokyo
23 wards

116.2

122.8

Tokyo
23 wards

100

0

71.2

71.2

Tokyo
23 wards

Tokyo
23 wards

96.3%
Listed(Feb. 6, 2013)

96.3%

Tokyo
23 wards

74.5

92.5%

Tokyo
23 wards

94.0%

Tokyo
23 wards

93.6%

Tokyo
23 wards

94.3%

Tokyo
23 wards

92.8%

Tokyo
23 wards

90.4%

Tokyo
23 wards

90.4%

Tokyo
23 wards

90.9%

Tokyo
23 wards

90.9%

Tokyo
23 wards

91.0%

92.9%

Tokyo
23 wards

93.3%“End of 6th
Fiscal Period”“End of 7th
Fiscal Period”“End of 8th
Fiscal Period”“End of 9th
Fiscal Period”“End of 10th
Fiscal Period”“End of 11th
Fiscal Period”“End of 12th
Fiscal Period”“End of 13th
Fiscal Period”“End of 14th
Fiscal Period”“End of 15th
Fiscal Period”“End of 16th
Fiscal Period”“End of 17th
Fiscal Period”(Ended Jul. 2013)(Ended Jan. 2014)(Ended Jul. 2014)(Ended Jan. 2015)(Ended Jul. 2015)(Ended Jan. 2016)(Ended Jul. 2016)(Ended Jan. 2017)(Ended Jul. 2017)(Ended Jan. 2018)(Ended Jul. 2018)(Ended Jan. 2019) (Ended Jul. 2019)

A+ (Stable)

Credit Rating

91.1%

A+ (Positive)“End of 18th
Fiscal Period”

September
2019

Futurestrategy

AA- (Stable)
June 2018 FTSE EPRA/NAREIT
Global Real Estate Index Series - Asia

Inclusion in
Indices

May 2019 MSCI Japan ESG Select Leaders Index

Distribution perunit (DPU) (Note 1)—¥4,051¥4,203¥4,268¥4,296¥4,403¥4,339¥4,487¥4,549¥4,681¥4,788¥4,985¥5,180¥5,180

Aim to improve DPU(ongoing basis)

Occupancy rate
at end of period

—

95.9%

96.2%

94.8%

95.2%

95.5%

96.2%

96.3%

96.5%

96.1%

96.7%

96.6%

96.4%

97.0%

Consistently stable
occupancy rate

(Note 1) Since a four-for-one split of investment units was carried out effective August 1, 2014, the figures for DPU prior to the split are divided by four and rounded off to the nearest
whole number.
(Note 2) Ratio of Tokyo 23 wards denotes ratio among rental residences.

2

3

Selective Investments with Portfolio Quality in Mind
Diversified Property Acquisition Channels Centering on Sponsor Groups

Sponsor Group’s Cyclical Reinvestment BusinessIn “2017–2020 Medium-Term Management Plan” announced in May 2017, Tokyu Fudosan Holdings Group maintains“expansion of associated assets” as one of the Group’s two fundamental policies, following the previous medium-term
management plan. As shown in the figure below, Tokyu Fudosan Holdings Group has expanded associated assets bypromoting the “cyclical reinvestment business” which seeks to expand the Group’s rental business portfolio through thecycle of development, acquisition, ownership, operation, funds collection and reinvestment, to establish a continuous
business cycle.

The Investment Corporation promotes steady growth of asset size centered on the acquisition of assets from sponsor
groups, in particular Tokyu Land Corporation. In addition, we strive to reinforce our property acquisition channels throughthe Asset Management Company’s original information routes.
19th Fiscal Period

18th Fiscal Period
Acquisition throughoriginal route of theAsset Management
Company

Acquisition fromsponsor group

9 properties¥(up to September 30, 2019)18,650 million

1 property¥+

2,220 million

Acquisition throughoriginal route of theAsset Management
Company

Ratio of Acquired Assets by Seller(As of September 30, 2019)
Sponsor

Other

45.8%

29.5%

Tokyu Fudosan Holdings Group asset management, property management, etc.

70.5%

1 property¥

2,380 million

Improvement of asset value

Acquisition fromsponsor group
investment

Other
sponsor groups

There is a pipeline of 24 properties containing 2,411 units located primarily within Tokyo 23 wards.

properties andservices

Corporate

Toshima-ku

Ikebukuro

Nakano-ku

Suginami-ku

Shinjuku

Shibuya-ku

Bunkyo-ku
Shinjuku-ku

Improving the Portfolio Quality through Promotion of Asset Replacement andSecuring Internal Reserves from Gain on Sale
In addition to AUM expansion by leveraging public offerings, expand internal reserves by promoting asset replacement
while returning capital gain to unitholders.

Ueno

External growth in line with current growth strategy

Chiyoda-ku(from 16th FP (Jul. 2018))

Nishifunabashi

Tokyo

Shibuya
Setagaya-ku

20 properties
1,978 units

Taito-ku Sumida-ku

Minato-ku

Chuo-ku

ShinagawaMeguro Shinagawa-ku-ku

Replacement
Koto-ku

15th FP end

Shin-Osaka

Asset Size (millions of yen)

Higashiyodogawa
-ku

Kyoto

Ota-kuNishi-ku(Acquisition price basis)

Tokyo 23 Wards Ratio(Rental Residence)

Avg. Walking Distance

Chuo-ku(Rental Residence)4

Rental residence➁

Differential
➁–➀

4

126

15

13,5602,629

225,944

37,408

92.8%

74.0%

9.4%

91.0%

0.6pt

5.3min

4.6min4.4min4.9min

–

PO

111

13

6

188,536

26,47790.4%
4.9minAcquisitions Dispositions

Effect of Asset Replacement

Kansai area

4 properties
433 units

18th FP end➀

No. of Properties

Suita-shi

Kita-ku

Properties developed by TLC

Development and Acquisition(Source) Compiled by the Asset Management Company from “Integrated Report 2017” by Tokyu Fudosan Holdings Group(Note) The figure above shows the cases where properties are contributed to REITs, but properties may be sold other than the REITs.

Itabashi-ku
Arakawa-ku

Cyclicalreinvestment

Ownership

rent, etc.

Property Development by Tokyu Land Corporation (As of September 18, 2019)

Kita-ku

Private REIT

Provision of properties (Note)

CustomerTokyo 23 wards

Funds
Collection

distribution

Individual

24.7%

Operation

Listed REIT (the Investment Corporation, etc.)

Shin-Kobe

Shin-Osaka

Operational rental residence (no specific plans for acquisition by the Investment Corporation)¥563 million of the total gain on sale of ¥802 million has been set aside as reserve for reduction entry and the internal
reserves secured will be allocated to temporary increases in expenses for future large-scale repair works, etc., thereby
stabilizing distribution level

Total gainon sale¥802 million

Total internal
reserves¥

563 million
5External Growth Results
During the 18th Fiscal Period, the Investment Corporation acquired nine properties from the sponsor at the time of the
public offering and acquired one property through original route of the Asset Management Company in March 2019, andsold one of the properties in July. During the 19th Fiscal Period, the Investment Corporation acquired COMFORIA GINZA

128 COMFORIA OOMORIKASHIMA
Warehousing

Address

129 COMFORIA OOMORIMACHI

Sub-central Tokyo

6-20-10 Oi, Shinagawa-ku, Tokyo

EAST NIBANKAN in September. Along with these efforts, the Investment Corporation aimed to improve the quality of its
portfolio such as increasing the investment ratio in Tokyo 23 wards.

Ownership

Nearest station/
9-minute walk from Omorimachi
Distance
Station on the Keikyu Line(on foot)

Ownership

Ownership

OwnershipCompletion date May 2007

Completion date February 2007

33 units

End of 18th FP

September 30, 2019

Rentable units

Acquisition date March 20, 2019

Acquisition date March 20, 2019

117 properties¥206.0 billion

126 properties¥225.9 billion

127 properties¥228.3 billion

Acquisition price ¥864 million

Acquisition price ¥1,096 million

Appraisal NOI yield 4.6% (as of October 31, 2018)

Appraisal NOI yield 4.6% (as of October 31, 2018)

130 COMFORIA KAMIIKEDAI

Properties Acquired in 18th Fiscal Period (Through public offering)Sponsordeveloped

Sponsor-developed
properties

Warehousing

Warehousing properties
by sponsors

Original
RouteSub-central Tokyo

Sponsordeveloped

Address

4-4-5 Aobadai, Meguro-ku, Tokyo

10-minute walk from Shibuya Station on the JR
Yamanote Line, Tokyu Toyoko Line, Den-enNearest station/
toshi Line, and four other lines
Distance (on foot)6-minute walk from Shinsen Station on the
Keio Inokashira Line

123 COMFORIA KINSHICHO DEUX
Sponsordeveloped

Sub-central Tokyo

2-10-20 Mori, Koto-ku, Tokyo
5-minute walk from Kinshicho Station
Nearest station/ on the Tokyo Metro Hanzomon Lineand JR Sobu Line
Distance
5-minute walk from Sumiyoshi(on foot)
Station on the Tokyo Metro Hanzomon Line and Toei Shinjuku Line
Ownership
Ownership
Address

Ownership

OwnershipCompletion date

October 2015

Rentable units

124 units

Acquisition dateFebruary 1, 2019

Acquisition price¥5,397 million

Appraisal NOI
yield

4.3% (as of October 31, 2018)

124 COMFORIA KAMEIDO SOUTH
Sponsordeveloped

Warehousing

Central Tokyo

3-6-4 Higashi-Nihonbashi, Chuo-ku,
Tokyo
4-minute walk from Higashi-nihonNearest station/ bashi Station on the Toei Asakusa Line
Distance
2-minute walk from Bakuroyokoyama Station on the Toei
(on foot)
Shinjuku Line
Ownership
Ownership
Address

Completion date September 2006
Rentable units
45 units
Acquisition date March 20, 2019
Acquisition price ¥1,194 million
Appraisal NOI yield 4.5% (as of October 31, 2018)

6-25-5 Kameido, Koto-ku, Tokyo

Nearest station/ 3-minute walk from Kameido
Distance
Station on the JR Chuo Sobu Local(on foot)Line and Tobu Kameido Line
Ownership

5-7-22 Kamiikedai, Ota-ku, Tokyo
13-minute walk from Magome
Nearest station/
Station on the Toei Asakusa Line
Distance
13-minute walk from Nagahara(on foot)
Station on the Tokyu Ikegami Line
Ownership
Ownership
Address

Rentable units

Acquired in the 18th Fiscal Period
132 COMFORIA TAMA-PLAZA
Original
Route

79 COMFORIA KITAHORIETokyo metropolitan area

2-12-1 Utsukushigaoka, Aoba-ku,
Yokohama-shi, Kanagawa
Nearest station/ 7-minute walk from TamaDistance
Plaza Station on the Tokyu(on foot)
Den-en-toshi Line
Ownership
Ownership

Address

Address

Sale priceAssetreplacement

Completion date March 2005
Rentable units
73 units
Acquisition date March 20, 2019
Acquisition price ¥2,220 million
Appraisal NOI yield 4.5% (as of January 31, 2019)

Original
Route

Appraisal Value¥1,050 million

Gain on sale¥168 million

Rentable units

73 units (among which, 1 is for store)

Completion date February 2007

2-1-8 Minato, Chuo-ku, Tokyo
4-minute walk from Hatchobori Station on
Nearest station/ the Tokyo Metro Hibiya Line and JR Keiyo Line
Distance (on foot) 5-minute walk from Shintomicho Station on
the Tokyo Metro Yurakucho Line
Ownership
OwnershipCompletion date August 2003
Rentable units
61 units
Acquisition date September 30, 2019
Acquisition price ¥2,380 million
Appraisal NOI yield 4.3% (as of July 31, 2019)
Address

Appraisal NOI yield 4.4% (as of October 31, 2018)

Sub-central Tokyo

Completion date August 2006
Rentable units
48 units
Acquisition date March 20, 2019
Acquisition price ¥1,254 million
Appraisal NOI yield 4.6% (as of October 31, 2018)¥1,200 million

Central Tokyo

Acquisition price ¥2,050 million

2-4-7 Komagata, Taito-ku, Tokyo
2-minute walk from Kuramae
Nearest station/ Station on the Toei Oedo Line/
Distance
Asakusa Line
5-minute walk from Asakusa Station(on foot)on the Tokyo Metro Ginza Line
Ownership
Ownership

3-12-2 Kitahorie, Nishi-ku, Osaka-shi, Osaka

133 COMFORIA GINZA EAST NIBANKAN

57 units

Address

Other major cities

Acquired in the 19th Fiscal Period

Acquisition date February 1, 2019

Warehousing

3-2-19, Nagasaki, Toshima-ku, Tokyo
7-minute walk from Higashi-nagasaki
Nearest station/
Station on the Seibu Ikebukuro Line
Distance
9-minute walk from Shiinamachi(on foot)
Station on the Seibu Ikebukuro Line
Ownership
Ownership
Address

Property sold during the 18th FP

Ownership

127 COMFORIA ASAKUSAKOMAGATA

Sponsordeveloped

Sub-central Tokyo

Completion date January 2018
Rentable units
167 units
Acquisition date April 5, 2019
Acquisition price ¥2,740 million
Appraisal NOI yield 4.5% (as of October 31, 2018)

Completion date January 2018

Completion date May 2016
Rentable units
96 units
Acquisition date February 1, 2019
Acquisition price ¥2,213 million
Appraisal NOI yield 4.4% (as of October 31, 2018)

126 COMFORIA HIGASHINIHONBASHI

Address

Sub-central Tokyo

131 CAMPUS VILLAGE SHIINAMACHI

Sub-central Tokyo

Completion date February 2006
Rentable units
43 units
Acquisition date March 20, 2019
Acquisition price ¥1,842 million
Appraisal NOI yield 4.8% (as of October 31, 2018)

Acquisition through original routeof the Asset Management Company

125 COMFORIA SHIBUYA WEST

Rentable units

45 units

End of 17th FP

Warehousing

6

4-11-5 Ohmori-nishi, Ota-ku, Tokyo

Address

Warehousing

Nearest station/
8-minute walk from Omori Station
Distance
on the JR Keihin-Tohoku Line(on foot)

Sub-central Tokyo

Investment Ratio by Area
Central Tokyo
Sub-central Tokyo
Tokyo Metropolitan area
Other major cities
Ratio of Tokyo 23 wards (Rental Residence)

After Acquisition of New Property
End of 17th FP

End of 18th FP

42.0%
47.2%
3.6%
7.3%
90.9%

38.8%
50.7%
4.3%
6.2%
91.0%

(September 2019)

39.5%
50.2%
4.2%
6.1%
91.1%
7

Internal Growth Results
With our portfolio strategy of investing in properties mainly in Tokyo 23 wards, steady rent increases have been realized
recently, while maintaining high occupancy rates.

Continuous Inflow of Younger Generations and Limited Supply of Rental Residences in Tokyo 23 Wards

Rent Change Upon Tenant Turnover (Total Portfolio)
The rate of rent change upon tenant turnover for the 18th Fiscal Period marked a record high of + 6.8%.
Rates of Rent Change Upon Tenant Turnover (Total Portfolio)(%)

While the net migration of younger generations (age 15 to 39 years old) in Tokyo 23 wards is significantly larger than thatof other cities, the number of construction starts of rental residences remains at a low level compared to its peak.

8.0

Net Migration of Younger Generations (Age 15~39 years old)

6.0

(People)90,00080,00070,00060,00050,00040,00030,00020,00010,000
0

2013

2014

2015

2016

2017

2018

Construction Starts of Rental Residences in Tokyo 23 Wards(Units)Remains at around
50% of the peak year

50,0004.0

40,0002.0

30,0000.0

20,000-2.0

0Osaka City Fukuoka City Sapporo City

(Source) “Basic Resident Register Population Transfer Report” by the Statistics Bureau,
Ministry of Internal Affairs and Communications(Source) “Statistics on residence starts” by Policy Bureau, the Ministry of Land, Infrastructure, Transport and Tourism

The average occupancy rate for the 18th Fiscal Period remained high at 96.9%.
(%)

Total portfolio

100
96.6%

97.0%

96.7%

96.6%

96.4%

96.4%

-0.4%
8th FP+3.7%

14th FP

15th FP

+4.6%

+1.5%

-1.3%
-0.5%
9th FP

10th FP-0.7%
11th FP

12th FP

13th FP

16th FP

17th FP

18th FPWork to Change Segmentation of Floors at COMFORIA AKABANEIWABUCHI

2000 2002 2004 2006 2008 2010 2012 2014 2016 2018

Occupancy Rates

96.6%

+1.0%

+3.4%

(Ended Jul. 2014) (Ended Jan. 2015) (Ended Jul. 2015) (Ended Jan. 2016) (Ended Jul. 2016) (Ended Jan. 2017) (Ended Jul. 2017) (Ended Jan. 2018) (Ended Jul. 2018) (Ended Jan. 2019) (Ended Jul. 2019)10,000Tokyo 23 Wards Nagoya City

+6.8%
+5.7%

97.3%

97.2%

96.5%

Implemented work such as dividing large rooms for lease in an aim to increase revenue and stability.
Property name

COMFORIA AKABANEIWABUCHI (16.4 years old)

Work completion

Jun. 2019

Details of work

[8-9F][1F]

Construction cost¥123 million

Monthly rent

[Before] 2units ¥851,000[After] 10units ¥1,604,000 (+¥752,000)

Total portfolio (year-on-year)

96.3%

96.8%

97.0%

95

(Note)

BeforeDivided two rooms with approx. 200 m2 into nine units
Turned space not intended for lease into unit for lease(Note) Monthly rent includes rent assumed by the Asset Management Company.

Before work

8F

90

Central Tokyo100

Sub-central Tokyo

Tokyo metropolitan area

After work

9F

Other major cities
After

95

90

16th FPJul.
2018

17th FP
Aug.

Sep.

Oct.

Nov.

18th FP
Dec.

Jan.
2019

Feb.

Mar.

Apr.

May

Jun.

Jul.

Impact of Rent Increases on Tenant Turnover/Lease Renewals
The rate of rent increase in the 18th Fiscal Period on both tenant turnover and lease renewals were continuously on an
increasing trend on the back of high occupancy rates.
Tenant Turnover
(%)

100
75
50
25
0

8

Increase
27.0%
No change
13.8%
Decrease
59.3%

Increase

No change

Decrease

Lease Renewals
(%)

100

Increase

Increase
0.0%

14.3%

79.6%

87.9%
50

No change
98.5%
Decrease
1.5%
6th FP

Decrease

27.2%

21.8%

85.6%

72.8%

78.2%

0.1%
16th FP

0.0%
17th FP

0.0%
18th FP(Ended Jul. 2018)(Ended Jan. 2019)(Ended Jul. 2019)

75
76.2%

No change

25

8.9%
14.9%

8.2%
12.2%

6th FP

16th FP

17th FP

4.7%
7.4%
18th FP(Ended Jul. 2013)(Listing)(Ended Jul. 2018)(Ended Jan. 2019)(Ended Jul. 2019)0(Ended Jul. 2013)(Listing)

Striving to realize sustainable enhancement of real estate value throughappropriate management of buildings
Supply and demand environment for rental residences continues to be in tight condition centeringon Tokyo 23 wards. Under such circumstances, evenaged properties, which competitiveness were
believed to be relatively inferior when compared withyoung properties, are seeing strong increase in rents.
COMFORIA AKABANEIWABUCHI mentioned aboveis the property I’m in charge of. It had spaces originally occupied by a previous owner, and we imple-

mented renovation work to change them into
more demanded single/compact-type units in an
aim to improve the value further.
I believe that implementing appropriate renovation works based on understanding of the characteristics and rental demand concerning each
property leads to sustainable enhancement of thereal estate value, and will keep appropriate management of buildings firmly in my mind.

Naoki Shimamura
Sub Manager
Comforia Management Division
Asset Management Department
TLC REIT Management Inc.
Hobby: Visiting old folk houses

9Financial Strategy

Sustainability Initiatives

The Investment Corporation will carry out equity financing (additional issuance of investment units) and debt financing(borrowings of funds and issuance of investment corporation bonds) while paying attention to financial soundness andearnings stability. Furthermore, the Investment Corporation will control its balance sheets by maintaining an LTV (interestbearing debt) (%) level to secure funds.

Issued Investment Corporation Bonds
6th

7th

Issue Date

July 18, 2019

July 18, 2019

Amount¥1.0 billion¥1.5 billion

Maturity

5.0 years

15.0 years

Interest rate

0.230%
per annum

0.900%
per annumInterest-Bearing Debt
(ended Jul. 31, 2019)

50.1%
94.1%
93.6%
4.6 years
0.60%(Note) Interest-bearing debt balance/total assets

Diversification of Repayment Dates
Existing loans
Borrowings in the 18th period

15,000

1st to 5th Investment corporation bonds (existing bonds)
6th and 7th Investment corporation bonds (new bonds)

9,400 7,520
9,270 9,650
8,800
6,860
8,500
8,300 7,925 8,800 1,000
1,000 1,000
7,050 6,950
6,560
6,000 2,800 3,000
3,500 2,100 2,800
2,800
4,200
5,000
2,300
5,860
3,395
2,000
5,000
6,520
5,500 4,925
1,350
5,000 4,950 4,150 2,200
3,700
019th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd 33rd 34th 35th
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP

10,000Commitment line

1,500

5.2%

28.7%

7.9%
15.7%
16.1%
15.7%

Lender32,325

Sumitomo Mitsui Trust Bank, Limited

18,145

Mizuho Bank, Ltd.

17,710Development Bank of Japan Inc.

17,710Sumitomo Mitsui Banking Corporation

8,840

Mizuho Trust & Banking Co., Ltd.

5,825

The Norinchukin Bank

3,325

The Bank of Fukuoka, Ltd.

2,825

Shinkin Central Bank

1,825

Kiraboshi Bank, Ltd.

1,000

Resona Bank, Ltd.

1,000

The 77 Bank, Ltd.

500

The Daishi Bank, Ltd.

500

Taiyo Life Insurance Company

500

Nippon Life Insurance Company
Total

Credit Rating (As of July 31, 2019)10

Loan balance (millions of yen)

MUFG Bank, Ltd.

500
112,530

Rating agency

Rating category

RatingOutlookJapan Credit Rating
Agency, Ltd.

Long-term issuer rating

AA-

StableRelevant SDG Goals

Goal

7 :

Affordable andClean Energy

Goal

12 :

Responsible
Consumption and
Production

Materiality

PolicyReducing environmental
impact➀ Energy use:	Medium- to long-term target of 1% average annual reduction inenergy use intensity.
➁ Energy-related CO2 emissions:	Medium- to long-term target of 1% annual average reduction ingreenhouse gas emissions intensity.

46th 47th 48th
FP FP FPThe Investment Corporation’s loan balances as of July 31, 2019 are as follows:

0.4%
0.4%
0.4%
0.4%

Environment

1,500

Loan Balances
0.9%
0.9%
1.6%
2.5%
3.0%

The Asset Management Company of the Investment Corporation established its
Sustainability Policy as its basic approach towards contributing to the development of sustainable society.
From this vast theme, the Asset Management Company has identified key issues
as priority (the “Materiality”) which are related to our business such as environmental and energy saving measures, coexistence with the local community, and governance. Furthermore, the Asset Management Company strives to contribute to
Sustainable Development Goals (SDGs).

Initiatives for Each Materiality and Related Sustainable Development Goals (SDGs)

The expected repayments of debt and investment corporation bonds as of July 31, 2019 are as follows:(Millions of yen)

The Investment Corporation was selected as a constituent of
the MSCI Japan ESG Select Leaders Index in May 2019. We
acquired “A” in MSCI ESG rating (as of June 2019).

Establishment of Sustainability Policies

End of 18th Fiscal Period
LTV (Note)
Long-term debt ratio
Fixed-interest debt ratio
Average maturity
Weighted avg. interest rate

Inclusion in MSCI Japan ESG Select Leaders Index

Status/Initiatives
Initiatives in improvement in energy efficiency

Initiatives in improving waste management

In conformity to the Act on the Rational Use of Energy(Energy Conservation Law), we set an annual average cutting target of 1% in energy use intensity for the entire portfolio and also for each property in the medium- tolong-term.

The Investment Corporation reduces environmental
impact at properties through separate disposal of waste incooperation with the management company. It is also
making every effort to improve resident satisfaction bytaking measures to reduce odor at garbage collection
points.

Switching to LED lights in common areas/Replacing
air conditioners in exclusive areas
The Investment Corporation is making progress in reduction of power consumption and environmental impact.

Implementation of LED lighting

Replacement of air conditioners

Green-lease Provisions
From the perspective of environmental friendliness, toreduce environmental load in collaboration with residents,
we insert green-lease provisions in lease agreements,
which are related to energy use and appropriate disposalof waste.

Monitoring at Sustainability Promotion Council
Environmental Certification
GRESB Real Estate Assessment
The Investment Corporation has participated in the assessment since
2018 and acquired “Green Star,” thehighest rating, for two consecutive
years.
DBJ Green Building Certification
COMFORIA SHINJUKU EASTSIDETOWER has acquired “5 Stars.”

11

Sustainability Initiatives

SocialGoal

11 :Relevant SDG Goals

Sustainable Cities
and Communities

Goal

12 :

Responsible
Consumption and
Production

GovernanceRelevant SDG Goals

Goal

12 :

Responsible
Consumption and
Production

Goal

16 : Strong Institutions
Peace, Justice andMateriality

PolicyMateriality

PolicyContribution to the region➀ Further improvement in disaster prevention functions➁ Prompt recovery of assets under management➂ Educational activities on fire and disaster prevention and disaster response➃ Enhanced cooperation with local community

Management framework
corresponding to multifaceted social demand towards
sustainable society➀ Express statement on governance of the investment corporation➁ Express statement on investment decision making body and the risk management system forinvestment➂ Establish framework for promoting implementation of the Sustainability Policy

Health and well-being of
tenants

Improve tenant satisfaction

Supplier engagement

Aim for smooth property management by utilizing expert know-how of Tokyu Housing Lease, Tokyu
Community, and other support agreement counterparties in Tokyu Fudosan Holdings Group. Shareinformation and actively work on environmentally friendly procurement with PM/BM

Human capital development
as a group of professionals

Present a qualitative standard of requirements for desirable human resources to encourage each
employee to align their development with these values, and conduct resource hiring/development/utilization based on the evaluation system that aims to generate corporate culture that leads toreform and new value creation.

Status/Initiatives
Decision-making flow in acquisition of assets
The asset management company of the Investment Corporation has built a governance framework that gives first priority
to compliance and is pouring its efforts in prevention of conflict of interest, risk management and legal compliance.
Proposal by responsible department▼

Status/Initiatives

Approval by compliance officer

Initiatives to improve tenant satisfaction

Initiatives in local communities

Hold tenant participation events(COMFORIA SHINJUKU EASTSIDE TOWER)Services taking tenant needs into consideration are provided,
including an exercising event utilizing rooftop pool and aconcert event inviting a popular violinist.

Installation of donation-type vending machines
We have installed disaster
response vending machines
at some of the properties
owned by the Investment
Corporation. These machines
can provide drinks to victimsof large-scale disasters.

Concert event

へようこそ！
コンフォリア物件にご入居された方はどなたでも、バラエティ豊かなメニューをご利用いただけます。

WELBOXでメニューを利用してWELコインを

ST00103のマークがついているメニュー
を利用すると利用金額に応じてスーツセレクト

WELコイン

W 使 える

予告

RC00003

小物雑貨から家具まで上質なライフスタイルをトータル提案

業界トップクラスのネットワークと豊富なラインナップ

WELBOX会員特別価格

通常価格より 5％割引

楽しむ

オリックス
レンタカー

基本料金より 最大55％割引（例）SAクラス・24時間レンタルで基本料金が1,863円お得！
（通常価格 8,100円 6,237円）

SK00004

毎日使えて、毎日お得！

WELコイン

W 使 える

常に高い
合格実績を誇る

会員証掲示で、ガソリン・軽油・灯油が
現金会員価格適用
店頭一般価格より 1～2円/L 割引

・入会金無料

BR05001

極楽湯は「日本一楽しめる銭湯」

IK00004

あなたにぴったりのメガネをちゃんと選ぶならHL00039

WELコイン

W 使 える

経験豊富なベルキャストがあらゆる家事をお手伝いします▼▼▼

単品のハウスクリーニング 5％割引（例）浴室クリーニング
19,440円
レンジフードクリーニング 17,280円
キッチン（I型）
クリーニング 19,440円

18,468円
16,416円
18,468円

定期利用月額 5％割引（例）週1回 1回2時間 8,460円
隔 週 1回2時間 9,540円
月1回 1回2時間 10,620円

109シネマズ全館で使用可能なチケットです

東急不動産が提案する会員制シェアオフィス

2

ビジネスエアポート丸の内

ビジネスエアポート東京

ST00053

LJ19002

古きよき時代をいまに伝える
ビヤホールの殿堂

世界一を極めた数々の絶叫アトラクション

ビヤホールの殿堂 銀座ライオン

一般料金 1,800円

1,300円※コンビニ発券でご購入する場合は、WELコインが使えません。

「ビジネスエアポート」
は、メインオフィスやご出張時のサテライトオフィス、ソロワークなど、様々なシーンでご利用いただけます。

ビジネスエアポート六本木

ビジネスエアポート青山

富士急
ハイランド

ビジネスエアポート神田

幼児（1歳以上）・シニア（65歳以上）
妊婦・障がい者手帳をお持ちの方

ご飲食代 10％割引※障がい者手帳をお持ちの方は、お付添いの方1人まで同料金です。

2,000円

1,900円

ST00209

貯まる
商品はTSUTAYA
店舗受け取りで送料無料！

名作「星の王子さま」をテーマにした
世界で唯一のミュージアム

TSUTAYA
オンラインショッピング

星の王子さまミュージアム

ご利用金額の1％を
WELコイン還元

入園料 大人小人

ランチご利用金額よりPG00252

コンサート・演劇などのチケットが会員特典付きSecurity of the local community
There is a police box contributing to the security of thelocal community.

WELコイン

W 貯まる

WELコイン

W 使 えるW

WELコイン

ST01803

ランチ
パスポート

ご購入金額の1％を
WELコイン還元

サービス利用料
月額 380円

LJ14029

WELコイン

W 貯まる

ホテルハーヴェスト W WELコイン
使 える
会員特別価格全国19施設アットホームなおもてなし

リフレッツ倶楽部

WELコイン

W 貯まる

WELコイン

W 使 える

1泊2食付
2名1室／1名

8,100円～

GH50316

200円割引200円割引日本全国のさまざまなアクティビティや地域文化を体験しよう！

体験予約ならアクティビティジャパン
最大3ヶ月無料

上質なくつろぎのひととき

那須、
草津、
勝浦、
蓼科、
志摩、湯布院ほか全国
12施設

箱根サン=テグジュペリ

OS00058

毎日のランチをちょっとお得に！
気軽で楽しくお店が探せる
便利なサイトローソン
チケット

こしひかり 5kgリゾートで楽しむ

WELBOX

ST00515

和食処 梅林

10％割引（例）大人2名で、1,000円お得！

8,037円
9,063円
10,089円【マスター会員】初月利用料無料【プライベート会員】初月利用料無料

ビジネスエアポート品川

レジャーを楽しむ

本格和食ランチをリーズナブルにご提供

WELコイン

W 使 える

KJ00016

ビジネスエアポート

スーパー銭湯 極楽湯（都市センターホテル）

PG00218／PG00288

109シネマズ＆ムービル
共通チケット

東急ベルの
家事代行

▼

WELコイン

W 使 える

高品質なハウスクリーニングを、プロの技術で提供します

WELコイン

W 使 える

極楽湯・RAKUSPAご優待券
会員特別料金 1枚 600円（送料込）

・受講料 10％割引

東急グループがあなたの暮らしをフルサポート！
HL00038

東急ベルのハウス
クリーニングコインをご用意しました。WEL コインが貯まる、使える楽しみもついています。

フリーパス
大人（18歳以上） 5,700円 5,300円
中人（中高生） 5,200円 4,900円
小人（小学生） 4,300円 4,100円

店頭価格より 5％割引

（通常価格 10,000円 0円）▼

お得な
コスモ石油販売

3,000（交換品例）

毎日を楽しむことを知っている。そんな大人のオフタイムのためのサービス

眼鏡市場

資格の学校
TAC

ガソリン給油ならまた貯まる

WELコイン
交換プログラムで人気家電やグルメと交換可能です。

「1コイン＝1円」として100コイン単位で利用できます！

▼▼▼

CR00041

利用金額に応じてWELコインがのマークがついているメニューを利用するとMENU

都心で楽しむ▼インテリアショップ
アクタス

使う

WELコイン

W 使 える

キャンペーンも臨時開催

コンフォリア WELBOXだけのお得な WELコインメニューも展開予定！
詳しくはWebでご紹介いたします。お楽しみに！

JT00093

ベアーズの
家事代行
サービス

貯まったWELコインを次にWELBOXを利用する時にWELコイン

還元率UP

WELコインがもらえます！

全品 10％割引

専用バーコードご提示で通常価格より5％割引

貯める

WELコイン

W 貯まる

国内に200店舗以上の店舗を展開しています

キッチン・クリーン、バラエティ、文具、DIY（ツール、素材）、アウトドア、健康、ホビー・クラフトといった幅広い分野で、様々な商品をご提案しております。

貯めて、使って、また貯まる。
WELBOX会員限定の
お得なポイント制度です。

▼

MENU

お客様に豊かな生活の「ヒント」をご提供する総合専門小売業

東急ハンズ
ケータイ割引サービス

HL00012

掃除、洗濯など日常的な家事を代行します

WELコインってなに？

▼ ▼

暮らす
ST00475

を「 WELコイン」

貯めて、使って、お得をゲット

都心型ライフをサポートするメニューをご用意。
上手に使って心豊かな毎日をお約束します。

▼

COMFORIA WELBOXCOMFORIA WELBOX provides a wide range of services to the residents of the
Comforia series, including
various discounts.

▼▼▼

Pool events

Disaster provision warehouse and manhole toilets
Established a disaster provision warehouse and manhole toilets for neighboring
residents and workers in
preparation for a disaster.

基本料金より 3％割引

国内・海外ホテル
どちらもおまかせ！
ツアーは航空券・ホテル
組合せ自由自在WELコイン

W 貯まる

エクスペディア

ホテル予約のご利用金額（税・サービス料を除く）の5％をWELコイン還元

GC00002

美しい自然に囲まれたコース

WELコイン

W 貯まる

東急ゴルフ
リゾート

（Tokyu Golf Resort）

・WELBOX会員特別料金
・1組100WELコイン還元※掲載写真はイメージです。 ※掲載情報は2018年7月現在のものです。各メニューのサービス内容、会員特典などは予告なく変更する場合があります。予めご了承ください。
※最新の内容、会員特典および利用方法は、「コンフォリアWELBOX」会員専用ホームページでご確認ください。

3

Conduct Tenant satisfaction survey
Every year we carry out a questionnaire survey of the residents of the Comforia series, on the residents’ satisfaction
and requests. Based on the opinions and requests of residents, we take action with the aim of providing better services.

12Open Space
Used as a walkway for neighboring residents and commuters.

In case of related-party transactions and other necessary cases ▼▼▼▼Compliance Committee deliberation andresolution (Note 1)▼

Aligning interests between unitholders and thesponsorIn the public offering held in Feb. 2019, the sponsor
acquired 5,384 units, which is 10% of the number of issuing units.
Even in terms of capital relationship, the Investment
Corporation aims to make a strong relationship with thesponsor and to achieve mutual interests improvement byaligning the interests of the unitholders to that of thesponsor.
Sponsor’s investment ratio

8.9% (as of July 31, 2019)

Investment Committee deliberation and resolution (Note 2)▼
Approval by each Chief Division Officer
In case of related-party transactions and other necessary cases ▼Prior approval by the investment
corporation’s board of directors (Note 1)▼
Report to investment
corporation▼▼

Report to the Board of Directors(Note 1) Deliberation and resolution by the Compliance Committee as well as priorapproval by the Investment Corporation’s board of directors will be required for
acquiring assets, etc. in case of related-party transactions and other necessary
cases.
(Note 2) If the candidate acquisition asset is a healthcare facility, advisory from external
experts related to healthcare facilities shall be sought. Furthermore, discussions
shall be held upon receiving a report on the content of reports, etc. created byexternal experts related to healthcare facilities and, if necessary, the Investment
Committee shall be attended by the concerned external experts as observers
and their opinions shall be heard.

Aim for medium- and long-term growth through steady implementation of sustainability initiatives
We are engaged in operations related to ESG investment at theAsset Management Company. Previously, each department wasworking on sustainability initiatives individually, but a framework
to supervise the efforts in a cross-sectoral manner was created in
April 2019 within the Environmental Engineering Department.
In recent years, necessity for companies to tackle social issues are
the focus based on the perspective that environmental issues
due to climate change and workstyle reform might become risk
factors for companies to stay in business. With the United Nations
adopting Sustainable Development Goals (SDGs), an idea that
corporate management that takes Environmental, Social andGovernance (ESG) into consideration leads to an improvement ofcorporate value is starting to spread.
Against such a backdrop, the Asset Management Company established Sustainability Policies, its fundamental policies. At the sametime, under the new framework, we worked on identifying Materiality, which means significant medium- to long-term societal issues,

based on environmental and other issues that the Investment
Corporation has worked on, while preparing a promotion systemsuch as establishment of the Sustainability Promotion Council.
We would like to continue proactive promotion of initiatives concerning sustainability and deepen relationships of trust with eachand every stakeholder by disclosing achievements in an appropriate manner, and thus support medium- to long-term growthof the Investment Corporation through our sincere efforts.
TLC REIT Management Inc.

Yoshitaka
Kuribayashi
General Manager
Environmental
Engineering
Department
Hobby: Golf

Naoko Sato
Senior Manager
Environmental
Engineering
Department
Hobby:
Tennis and Japanese calligraphy

13

Portfolio Map (As of September 30, 2019)
The Investment Corporation manages assets with superb accessibility
located mainly in the Tokyo 23 wards.
Central TokyoVILLAGE
131 CAMPUSSHIINAMACHI

125 COMFORIA SHIBUYA WEST

Saitama
127 COMFORIAASAKUSAKOMAGATA

45 properties

1 COMFORIA NIHONBASHI NINGYOCHO 31 COMFORIA SHIBAURA BOWHOUSE

71 COMFORIA SASAZUKA

2 COMFORIA WASEDA

48 COMFORIA SHIROKANETAKANAWA 72 COMFORIA SHINJUKUGYOENⅡ

96 COMFORIA AZABU EAST

3 COMFORIA SHIMOOCHIAI

49 COMFORIA NIHONBASHI NINGYOCHO EAST 73 COMFORIA ICHIGAYAYANAGICHO 103 COMFORIA ICHIGAYAYAKUOJI
50 COMFORIA ATAGO

74 COMFORIA KAGURAZAKA

104 COMFORIA AKIHABARA EAST

14 COMFORIA GINZA EAST

56 COMFORIA KUDAN

80 COMFORIA NIBANCHO

105 COMFORIA MITA TROIS

15 COMFORIA AZABUDAI

57 COMFORIA NIHONBASHI NINGYOCHO NORTH 81 COMFORIA NISHISHINJUKU

16 COMFORIA SHIBAKOEN

58 COMFORIA SHINKAWA

83 COMFORIA KANDAJINBOCHO

120 COMFORIA SHINJUKU

17 COMFORIA NISHIAZABU

59 COMFORIA AKASAKA

84 COMFORIA NIHONBASHI

126 COMFORIA HIGASHINIHONBASHI

18 COMFORIA MINAMIAOYAMA

60 COMFORIA MITA EAST

85 COMFORIA TAMACHI

133 COMFORIA GINZA EAST NIBANKAN

118

20 COMFORIA NISHIWASEDA

61 COMFORIA SHIBAURA CANAL

86 COMFORIA AZABUJUBAN

69 COMFORIA KITASANDO

92 COMFORIA SHINJUKUGYOENⅠ

30 COMFORIA MITA NORTH

70 COMFORIA YOYOGIUEHARA

93 COMFORIA KAGURAZAKA DEUX

Itabashi-ku
Nerima-ku

11

Suginami-ku
5 COMFORIA BUNKYOKASUGA

38 COMFORIA MISYUKU

82 COMFORIA KOMABA

124 COMFORIA KAMEIDO SOUTH

6 COMFORIA ASAKUSAMATSUGAYA

39 COMFORIA GAKUGEIDAIGAKU

87 COMFORIA KINSHICHO

125 COMFORIA SHIBUYA WEST

7 COMFORIA NISHIOI

40 COMFORIA HIGASHINAKANO DEUX 88 COMFORIA MINAMISUNAMACHI

8 COMFORIA NAKANO

41 COMFORIA HIGASHIIKEBUKURO WEST 89 COMFORIA HIGASHISHINAGAWA 128 COMFORIA OMORIKASHIMA

9 COMFORIA SHIMOKITAZAWA

43 COMFORIA RYOGOKU DEUX

90 COMFORIA MEGUROYAKUMO

129 COMFORIA OMORIMACHI

44 COMFORIA OMORI DEUX

91 COMFORIA YOGA

130 COMFORIA KAMIIKEDAI

11 COMFORIA OYAMA

45 COMFORIA MACHIYA

94 COMFORIA ITABASHINAKAJUKU131 CAMPUS VILLAGE SHIINAMACHI

97 COMFORIA SHINAGAWA EAST

21 COMFORIA KOISHIKAWA

53 COMFORIA TOYOSU

100 COMFORIA OMORI TROIS

22 COMFORIA SENGOKU

55 COMFORIA SUMIDA-TACHIBANA 106 COMFORIA BUNKYOHAKUSAN

121
108

Setagaya-ku

91

45

37

Shinagawa
-ku

97
89

7

23 COMFORIA DAIKANYAMAAOBADAI 62 COMFORIA UENOHIROKOJI

107 COMFORIA KAMATA

63 COMFORIA KASUGATOMISAKA

108 COLLEGE COURT HACHIMANYAMA

29 COMFORIA RYOGOKUISHIWARA

64 COMFORIA HONKOMAGOME

114 COMFORIA UENOIRIYA

95 10113068

115 COMFORIA IKEJIRI

33 COMFORIA OSHIAGE

66 COMFORIA KIBAKOEN

116 COMFORIA SETAGAYAKAMIUMA

34 COMFORIA HONJOAZUMABASHI

67 COMFORIA MEGURO CHOJAMARU 118 COMFORIA AKABANEIWABUCHI
119 COMFORIA RYOGOKU TROIS

75 COMFORIA HIGASHIIKEBUKURO EAST 121 COLLEGE SQUARE HACHIMANYAMA

37 COMFORIA HIMONYA

76 COMFORIA HIGASHIIKEBUKURO

112 COMFORIA GYOTOKU

47 COMFORIA YATSUKA

122 GRANCREER CENTER-MINAMI

77 COMFORIA SHINKOYASU

132 COMFORIA TAMA-PLAZAOther major cities

123 COMFORIA KINSHICHO DEUX

109 COMFORIA SHINSAIBASHI EAST

78 COMFORIA SHINSAKAE

110 COMFORIA KYOMACHIBORI

95 COMFORIA KITASANJO

111 COMFORIA AWAZA

101 COMFORIA SAPPORO SHOKUBUTSUEN 117 COMFORIA KITAHAMA
102 COMFORIA OGIMACHI

14

112

46

123 COMFORIAKINSHICHO DEUX

Acquired in the
18th Fiscal Period
126 COMFORIAHIGASHINIHONBASHI

128 COMFORIAOMORIKASHIMA

Acquired in the
18th Fiscal Period

Total

127

properties77

9 properties

54 COMFORIA SHIN-OSAKA

Nishifunabashi
Edogawa-ku

Acquired in the
19th Fiscal Period

130 COMFORIA KAMIIKEDAI

46 COMFORIA ICHIKAWAMYODEN

133 COMFORIAGINZA EAST NIBANKAN

128

122

36 COMFORIA MONZENNAKACHO

6 properties

Acquired in the
18th Fiscal Period

44
100
Ota-ku 129
10 107132

32 COMFORIA ASAKUSABASHI DEUX 65 COMFORIA MORISHITATokyo metropolitan area

Katsushika-ku

64
41
Taito
Ikebukuro 76 75 22 106
114 -ku
Sumida-ku
Bunkyo-ku
3
Shinjuku
Ueno
55
21
6
5
8
33
4 20 -ku
624012729 34
63
74
2
98
32
87
81 120104 51 119
73 93
83
84
56
123 124
103
52
Shinjuku 72
126
43
Chiyoda 57 49
80
99
92
65 35
-ku
1
Tokyo
12
Shibuya-ku 69
36
58
88
71
59
26 18
14
66
9
Koto-ku
70
133
50
Chuo
15
Shibuya-ku
17 86 96 16
125
53
82
23
30 60
48 105 61
115
38
113
MeguroMinato67 -ku 85 31-ku
13 116 39
Shinagawa90

27 COMFORIA IKEBUKURO

35 COMFORIA KIYOSUMISHIRAKAWA TROIS 68 COMFORIA NISHIMAGOMETokyo

127 COMFORIA ASAKUSAKOMAGATA

10 COMFORIA NISHIKAMATA

99 COMFORIA OJIMAArakawa-ku

131

Kichijoji

52 COMFORIA RYOGOKU SOUTH

94

Toshima-ku 2767 properties

13 COMFORIA KOMAZAWA

Acquired in the
18th Fiscal Period

Kita-ku

Nakano-ku

Sub-central Tokyo

12 COMFORIA KIYOSUMISHIRAKAWA SOUTH 51 COMFORIA ASAKUSABASHI

Adachi-ku

Akabane113 COMFORIA SHIBAURA

26 COMFORIA HARAJYUKU

124 COMFORIA
KAMEIDO SOUTH

Acquired in the
18th Fiscal Period

Acquired in the
18th Fiscal Period

98 COMFORIA SHINJUKU EASTSIDE TOWER

4 COMFORIA HIGASHINAKANO

Chiba

47

Yokohama

Acquired in the
18th Fiscal Period

Acquired in the
18th Fiscal Period

132 COMFORIA TAMA-PLAZA

129 COMFORIA OMORIMACHI

78
54 102 109 110 111 117

Central Tokyo
Sub-central Tokyo
Tokyo metropolitan area

Kanagawa
Acquired in the
18th Fiscal Period

Acquired in the
18th Fiscal Period

Other major cities
15

Portfolio Ranking (Top 10 by Acquisition Price)
COMFORIA SHINJUKU EASTSIDE TOWER
Acquisition price: ¥13,264 million

2

COMFORIA KAMATA
Acquisition price: ¥5,721 million

3

1

4

COMFORIA
KOMABA

5

COMFORIA MINAMISUNAMACHI

7

COMFORIA KITASANDO

Acquisition price: ¥4,681 million

Acquisition price: ¥5,000 million

6

COMFORIA AKIHABARA EAST

8

GRANCREER CENTER-MINAMI

Acquisition price: ¥4,425 million

Acquisition price: ¥4,268 million

COMFORIA SHIBUYA WEST
Acquisition price: ¥5,397 million

Acquisition price: ¥4,150 million

9

COMFORIAHIGASHIIKEBUKURO WEST

Acquisition price: ¥3,911 million

16

10 COMFORIA
ITABASHINAKAJUKUAcquisition price: ¥3,794 million

17

Basic Policies

Overview of the Investment Corporation and Asset Management Company

We invest intensively in rental residences for singles and small families, mainly in the Tokyo metropolitan area, based on
our basic policies of “investments in residential properties with stable earnings and high growth potential” and “utilizationof the Tokyu Fudosan Holdings Group,” with the aim of ensuring stable earnings over the medium and long term andmaximizing our unitholders’ value.

COMFORIA Series

Overview of the Investment Corporation (As of July 31, 2019)
Name of the investment corporation Comforia Residential REIT, Inc
Representative
Takehiro Izawa, Executive Director
1-1 Minami-Aoyama 1-chome,
Address
Minato-ku, Tokyo 107-0062, Japan

Fiscal period-end

History

We will invest in and manage rental residences, fully utilizing the concept and expertise of the urban rental residence
Comforia series, which Tokyu Land Corporation has produced.

June 8, 2010

Registration of incorporation, and foundation under Article 166 of the Act on Investment Trusts and Investment Corporations

June 30, 2010
February 6, 2013For a Superior Level of Living Comfort
COMFORIA is the name we have given to the urban rental residences produced by the Tokyu Land Corporation.
The word COMFORIA is a compound that we coined from “comfort,” and “ia,” a Latin suffix meaning “place.”
The idea that residences are not just containers has given birth to our “COMFORIA” series of rental residences madespecifically for people who wish to live freely and affluently in urban communities.
COMFORIA offers living comfort beyond expectation and surpasses the level of mere convenience in many ways.

Implementation of registration by the prime minister under Article 187 of the Act on Investment Trusts and Investment Corporations(registration number: Director of Kanto Finance Bureau No. 71)
Listed on the Real Estate Investment Trust Securities Market of the Tokyo Stock Exchange

Structure
Sponsor

The Investment Corporation

TOKYU LAND CORPORATION
2TLC REIT Management Inc.

1

Comforia Residential REIT, Inc

COMFORIA knows
what high quality
feels like.

COMFORIA knows
where peace of mind
comes from.

COMFORIA knows
how residents feel.

Value Chain of the Tokyu Fudosan Holdings GroupWe have concluded sponsor support agreements, support agreements and property management agreements for managed assets with the Asset Management Company and the Tokyu Fudosan Holdings Group companies to fully utilize thevalue chain and expertise of the Tokyu Fudosan Holdings Group. With the support of the Tokyu Fudosan Holdings Group
companies through such agreements, we aim to expand our asset size (external growth), and maintain and increase asset
value (internal growth).
Sponsor support
Sponsorsupportagreement

TOKYU LAND CORPORATION

Supportagreement/
PM contract

Supportagreement

General Administration (accounting, etc.)
Reiwakaikeisha Tax Corporation (Note 1)
General Administration (corporation bonds)

Supporting Companies

Board of Directors

TOKYU LIVABLE, INC.
TOKYU COMMUNITY CORP.
Tokyu Housing Lease Corporation
National Students Information Center Co., Ltd.
TOKYU E-LIFE DESIGN Inc.
EWEL, Inc.
TOKYU SPORTS OASIS, Inc.

Executive Director: Takehiro Izawa
Supervisory Director: Yoshihiro Kataoka
Supervisory Director: Koji Yamamoto

4

Sumitomo Mitsui Trust Bank, Limited
MUFG Bank, Ltd.
1 Asset management agreement
2 Asset custody agreement, Administrative service

agreement, Transfer agency agreement

AuditorErnst & Young ShinNihon LLC

3 Accounting service agreement
4 Fiscal, issuing and payment agency agreement
5 Sponsor support agreement
6 Support agreement(Note 1) Switched from Heiseikaikeisha Tax Corporation on September 1, 2019.

Overview of the Asset Management Company (As of July 31, 2019)
Trade name
TLC REIT Management Inc.
Representative Hiroyuki Tohmata, President & CEO
1-1 Minami-Aoyama 1-chome,
Address
Minato-ku, Tokyo 107-0062, Japan (Note 2)
Established
October 2009
Capital¥200 million

Shareholder

Tokyu Land Corporation 100%

Registrations/
LicensesFinancial Instruments Business Firm, granted by the Director of the Kanto
Regional Finance Bureau (Financial Instruments) Registration No. 2370
Discretionary Transaction Agent granted by the Minister of Land, Infrastructure, Transport and Tourism, Registration No. 65
Building Lots and Building Transactions Business License, granted by theGovernor of Tokyo (2) No. 91139(Note 2) 1-21-1 Dogenzaka, Shibuya-ku, Tokyo from October 7, 2019.

Rental residence management
Property information

3

Unitholders’ Meeting

6

COMFORIA knows
how valuable time is.

Asset Custodian General Administration(operation of the administrative instrument)
Transfer Agent
Mitsubishi UFJ Trust and Banking Corporation

5
Asset Management Company

Four Advantages COMFORIA Offers

Overview of Organization

Shareholders’ Meeting
Corporate Auditor
Board of Directors

Tokyu Housing Lease Corporation

Compliance Committee

Investment Committee
TOKYU LIVABLE, INC.

TLC REIT Management Inc.

Services for residents
Supportagreement
Supportagreement

18

TLC REIT Management, Inc.
Tel: +81-3-6455-3388
January 31 and July 31 of each year

Inquiries

EWEL, Inc.

TOKYU SPORTS OASIS, Inc.

Supportagreement

President & CEO
TOKYU COMMUNITY CORP.

Management of operational rental residences

Acquisition Priority Review Meeting
Internal Audit Dept.

Compliance Dept.

Support agreement(condominiums
for students)
National Students Information Center Co., Ltd.
Support agreement(housing for theelderly)

TOKYU E-LIFE DESIGN Inc.

Corporate
Planning &Administration
Dept.

Finance &Accounting
Dept.

Asset
Investment
Dept.

Environmental
Engineering
Dept.

Activia Management Div.

Comforia Management Div.

Broadia Management Div.

Strategic Mgt.
Dept.

Strategic Mgt.
Dept.

Strategic Mgt.
Dept.

Asset Mgt.
Dept.

Asset Mgt.
Dept.

Asset Mgt.
Dept.

19

II. Asset Management Report
II. Asset Management Report

Overview of Asset Management

Asset Management Report for the 18th Fiscal Period(Semi-Annual Report)

Overview of Asset Management

1. Performance of the Investment Corporation
Fiscal period

14th
Fiscal Period

15th
Fiscal Period

16th
Fiscal Period

17th
Fiscal Period

18th
Fiscal PeriodBusiness period

FromFeb. 1, 2017 toJul. 31, 2017

From
Aug. 1, 2017 toJan. 31, 2018

From
Feb. 1, 2018 toJul. 31, 2018

From
Aug. 1, 2018 toJan. 31, 2019

From
Feb. 1, 2019 toJul. 31, 2019

From February 1, 2019 to July 31, 2019

Comforia Residential REIT, Inc
1-1 Minami-Aoyama 1-chome, Minato-ku,
Tokyo 107-0062, Japan

Operating revenue(millions of yen)

7,276

7,357

8,147

8,128

8,652

[Rent revenue - real estate](millions of yen)

[7,276][7,357][7,771][7,869][8,484]

Operating expenses(millions of yen)

4,178

4,188

4,444

4,425

4,673

[Expenses related to rent business](millions of yen)

[3,518][3,496][3,745][3,687][3,928]Operating profit(millions of yen)

3,098

3,168

3,703

3,702

3,978

Ordinary profit(millions of yen)

2,613

2,680

3,204

3,178

3,453

Profit(millions of yen)

2,608

2,674

3,191

3,172

3,448

Total assets(millions of yen)

205,121206,171219,211

223,829

246,498[Period-on-period change]
Net assets

II.
III.

Asset Management Report
Financial Section
Balance Sheets
Statements of Income
Statements of Changes in Unitholders’ Equity
Statements of Cash Distributions
Statements of Cash Flows
Notes
Supplementary Schedules
Independent Auditor’s Report[11.5]

[0.5]

[6.3]

[2.1]

[10.1]

97,25897,294

103,043

103,289

117,928(%)[14.2]

[0.0]

[5.9]

[0.2]

[14.2](millions of yen)

94,557

94,557

99,814

99,814

114,045

Number of investment units issued(units)563,694563,694586,994586,994

640,834

Net assets per unit

(yen)

172,537

172,601

175,544

175,964

184,023

Total distributions(millions of yen)

2,638

2,698

2,926

3,040

3,319

Distribution per unit

(yen)

4,681

4,788

4,985

5,180

5,180

[Earnings distribution per unit](yen)[4,681][4,788][4,985][5,180][5,180][Distribution in excess of earnings
per unit]

(yen)

[－]

[－]

[－]

[－]

[－]

Return on assets(Note 1)

(%)

1.3

1.3

1.5

1.4

1.5

Return on unitholders’ equity(Note 2)

(%)

2.9

2.7

3.2

3.1

3.1

Unitholders’ equity ratio(Note 3)

(%)

47.4

47.2

47.0

46.1

47.8

[Period-on-period change]
Unitholders’ capital[Period-on-period change](%)

Interest-bearing debt

(millions of yen)

[1.1][-0.2][-0.2][-0.9][1.7]

103,620

104,750

111,730

116,030

123,530

Interest-bearing debt ratio (LTV) (Note 4)

(%)

50.5

50.8

51.0

51.8

50.1

Payout ratio

(%)

101.1

100.9

91.6

95.8

96.2

Number of properties(properties)

110

111

117

117

126

Total leasable area(m2)

303,025.09

304,126.02

318,999.87

336,786.72

358,677.21(Note 5)

Occupancy rate at end of period
Depreciation
Capital expenditure
NOI(Note 1)
(Note 2)
(Note 3)(Note 4)(Note 5)(Note 6)(Note 7)20(%)
(millions of yen)

(%)

96.1

96.7

96.6

96.4

97.0

(millions of yen)

1,137

1,152

1,200

1,223

1,288

(millions of yen)

386

274

281

279

509

5,843
4,896
5,013
5,227
5,405
Ordinary profit ÷ [(Total assets at beginning of period + Total assets at end of period) ÷ 2] × 100
Profit ÷ [(Net assets at beginning of period + Net assets at end of period) ÷ 2] × 100
Net assets at end of period ÷ Total assets at end of period × 100
Interest-bearing debt at end of period ÷ Total assets at end of period × 100
Total distributions ÷ Profit × 100
Payout ratio is rounded down to the first decimal place.
Income from real estate rental business+ Depreciation
The Investment Corporation applied the Partial Amendments to Accounting Standard for Tax Effect Accounting (The Accounting Standards Board ofJapan Statement No. 28 issued on February 16, 2018) from the beginning of the 17th Fiscal Period, and the reclassified amount due to the change wasreflected to the total assets for the 16th Fiscal Period. Furthermore, the application poses no impact on the financial indicators.
(Note 6)(millions of yen)

- 1 -

21

3. Capital Increases

2. Asset Management Status for the 18th Fiscal Period(1) History of the Investment Corporation
Comforia Residential REIT, Inc (the “Investment Corporation”) was established on June 8, 2010 as an investment corporationthat invests mainly in residential properties in accordance with the “Act on Investment Trusts and Investment Corporations”
of Japan (Act No. 198 of 1951, as revised; hereinafter referred to as the “Investment Trusts Act”), with registration by the prime
minister completed as of June 30, 2010 under Article 187 of the Investment Trusts Act (registration number: Director of Kanto
Finance Bureau No. 71). Investments by the Investment Corporation commenced in August 2010. The Investment Corporation
issued new investment units through a public offering on February 6, 2013 and was listed on the real estate investment trust
market of the Tokyo Stock Exchange, Inc. (securities code: 3282).
Managed assets of the Investment Corporation at the commencement of operations totaled 11 properties, acquired for a totalof ¥15,508 million. As a result of additional acquisition and sale of properties under the basic policy of asset management (tomanage assets with the aim of achieving stable earnings and ensuring the steady growth of our managed assets based on
medium- to long-term perspectives to maximize our unitholders’ value) stipulated in the regulations of the Investment
Corporation, the portfolio (the “Acquired Assets”) owned as of the end of the 18th Fiscal Period includes 126 properties,
acquired for a total of ¥225,944 million.
(2) Investment performance(i) Investment environment
During the 18th Fiscal Period, the Japanese economy remained on a modest recovery trend amid continued improvementsin the employment and income environment. Under these circumstances, in the residential rental market, unit rent has
shown an upward trend centering on central Tokyo while occupancy rate remained high. In the real estate investment
market, the level of transaction prices remains stable at a high price range amid an ongoing low interest rate environment
resulting from the fiscal policies of the government and monetary policies of the Bank of Japan (BOJ).
(ii) Acquisition and sale of assets
During the 18th Fiscal Period, the Investment Corporation acquired COMFORIA SHIBUYA WEST and two otherproperties in February 2019, followed by the acquisition of COMFORIA HIGASHINIHONBASH and five otherproperties in March 2019. In addition, the Investment Corporation acquired CAMPUS VILLAGE SHIINAMACHI in
April 2019, while selling COMFORIA KITAHORIE in July 2019. As a result, assets owned by the Investment Corporation
as of the end of the 18th Fiscal Period totaled 126 properties with a total acquisition price of ¥225,944 million.
(iii) Operation management of assets owned by the Investment Corporation
The Investment Corporation consigns property management operations mainly to Tokyu Housing Lease Corporation,
which has an extensive track record in managing the Comforia series of properties. Under the Comforia series, theInvestment Corporation promotes unified management and strives to improve operational efficiency and shorten periodsof vacancy.
(3) Overview of funding
During the 18th Fiscal Period, the Investment Corporation undertook additional issuance of investment units (53,840 units)
and borrowing of funds (¥19,395 million) for the acquisition of COMFORIA SHIBUYA WEST and eight other properties
conducted in February and March 2019 and for the repayment of borrowings (¥14,595 million) made in March 2011 and
September 2018. Subsequently, the Investment Corporation borrowed funds (¥2,800 million) in April 2019 for the acquisitionof CAMPUS VILLAGE SHIINAMACHI, and issued investment corporation bonds (¥2,500 million) in July 2019 to beappropriated for the repayment funds (¥2,500 million) for borrowings made in March 2019. Consequently, as of the end of the
18th Fiscal Period (July 31, 2019), unitholders’ capital was ¥114,045 million, interest-bearing debt was ¥123,530 million, theratio of interest-bearing debt to total assets (LTV) was 50.1%, the average maturity of interest-bearing debt was 4.6 years, theratio of long-term debt was 94.1%, and the fixed rate ratio was 93.6%. Moreover, the Investment Corporation executed a Lineof Credit Loan Master Agreement (on an uncommitted basis) as of February 7, 2019, in case the need arises to raise funds topurchase assets for future investments or other purposes.
The Investment Corporation obtained the following rating as of the end of the 18th Fiscal Period.
Name of credit rating agency

RatingOutlookJapan Credit Rating Agency, Ltd. (JCR)

AA–

Stable(4) Overview of performance and distributions
As a result of investment during the 18th Fiscal Period, the Investment Corporation posted operating revenue of ¥8,652 million,
operating profit of ¥3,978 million, ordinary profit of ¥3,453 million, and profit of ¥3,448 million.
The Investment Corporation carries out distributions so that the Special Provisions for Taxation on Investment Corporations(Article 67-15 of the Act on Special Measures Concerning Taxation [Act No. 26 of 1957, as revised; hereinafter referred to as
the “Act on Special Measures Concerning Taxation”]) would be applied. For the 18th Fiscal Period, the Investment Corporation
retained part (¥149 million) of gain on sales by applying the Special Provisions on Taxation in the case of advance acquisitionof land and such in 2009 and 2010 (Article 66-2 of the Act on Special Measures Concerning Taxation), after adding the reversalof reserve for reduction entry (¥20 million) to unappropriated retained earnings. As a result, the distribution per unit (DPU)was ¥5,180 for the period.

22

- 2 -

Date

Type

Number of investment units
issued (units)
ChangeBalanceUnitholders’ capital(millions of yen)
ChangeRemarks

Balance

June 8, 2010

Establishment throughprivate placement

200

200

100

100

(Note 1)

August 30, 2010

Capital increase throughprivate placement

7,800

8,000

3,900

4,000

(Note 2)

March 18, 2011

Capital increase throughprivate placement

24,27032,27011,84015,840(Note 3)February 2, 2012

Capital increase throughprivate placement

16,40048,6708,200

24,040(Note 4)

February 5, 2013

Capital increase throughpublic offering

18,691

67,361

9,935

33,975(Note 5)February 3, 2014

Capital increase throughpublic offering

31,90099,261

21,96055,936(Note 6)

February 26, 2014

Capital increase throughthird-party allotment

1,401

100,662964

56,900(Note 7)

August 1, 2014

Investment unit split

301,986

402,648–

56,900(Note 8)February 2, 2015

Capital increase throughpublic offering

70,000472,648

18,02574,926(Note 9)February 27, 2015

Capital increase throughthird-party allotment

1,156

473,804297

February 1, 2016

Capital increase throughpublic offering

37,800511,604

7,159

February 26, 2016

Capital increase throughthird-party allotment

1,900

513,504359

82,743 (Note 12)

February 1, 2017

Capital increase throughpublic offering

47,800561,304

11,251

93,995 (Note 13)

February 22, 2017

Capital increase throughthird-party allotment

2,390

563,694562

94,557 (Note 14)

February 1, 2018

Capital increase throughpublic offering

22,190585,884

5,006

99,563 (Note 15)

February 15, 2018

Capital increase throughthird-party allotment

1,110

586,994250

99,814 (Note 16)

February 1, 2019

Capital increase throughpublic offering

51,270638,264

13,551

113,366 (Note 17)

February 20, 2019

Capital increase throughthird-party allotment

2,570

640,834

679

114,045 (Note 18)

75,224 (Note 10)
82,383(Note 11)

(Note 1)
(Note 2)
(Note 3)

Established at an issue price of ¥500,000 per investment unit.
Issued privately placed investment units at an issue price of ¥500,000 per investment unit to fund the acquisition of new properties.
Issued privately placed investment units at an issue price of ¥500,000 (subscription price of ¥487,852) per investment unit to fund the acquisition of
new properties and repay loans.
(Note 4) Issued privately placed investment units at an issue price of ¥500,000 per investment unit to fund the acquisition of new properties and repay loans.
(Note 5) Issued investment units at an issue price of ¥550,000 (subscription price of ¥531,575) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 6) Issued investment units at an issue price of ¥712,530 (subscription price of ¥688,413) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 7) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥688,413 per investment unit.
(Note 8) Carried out a four-for-one-split of investment units effective as of August 1, 2014, with July 31, 2014 as the record date.
(Note 9) Issued investment units at an issue price of ¥266,253 (subscription price of ¥257,514) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 10) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥257,514 per investment unit.
(Note 11) Issued investment units at an issue price of ¥195,828 (subscription price of ¥189,400) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 12) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥189,400 per investment unit.
(Note 13) Issued investment units at an issue price of ¥243,252 (subscription price of ¥235,393) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 14) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥235,393 per investment unit.
(Note 15) Issued investment units at an issue price of ¥233,132 (subscription price of ¥225,600) per investment unit to fund the acquisition of new properties
and to repay loans.
(Note 16) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥225,600 per investment unit.
(Note 17) Issued investment units at an issue price of ¥273,146 (subscription price of ¥264,321) per investment unit to fund the acquisition of new properties
and repay loans.
(Note 18) Issued investment units with Mizuho Securities Co., Ltd. as alottee at an issue value of ¥264,321 per investment unit.

- 3 -

23

[Fluctuation in market price of the investment securities]
The highest and lowest prices (closing price) in the real estate investment trust market of the Tokyo Stock Exchange, Inc., where theInvestment Corporation is listed, by fiscal period are as follows.
Fiscal period

14th Fiscal Period

15th Fiscal Period

16th Fiscal Period

17th Fiscal Period

Closing month/year

Jul. 2017

Jan. 2018

Jul. 2018

Jan. 201918th Fiscal Period
Jul. 2019

Highest¥261,600¥250,500¥267,300¥298,000¥332,500

Lowest¥219,400¥228,100¥228,000¥258,000¥280,100

4. Performance of Distributions
The Investment Corporation pays out distributions per unit (DPUs) with the intent of including the maximum amount of earnings
distributions in deductible expenses by applying special measures concerning taxation (Article 67-15 of the Act on Special Measures
Concerning Taxation). For the 18th Fiscal Period, the Investment Corporation retained part of gain on sales by applying the Special
Provisions on Taxation in the case of advance acquisition of land and such in 2009 and 2010 (Article 66-2 of the Act on Special
Measures Concerning Taxation), after adding the reversal of reserve for reduction entry (¥20 million) to unappropriated retained
earnings. Based on this policy, the Investment Corporation has decided to distribute the entire amount of unappropriated retained
earnings after deducting ¥149 million, which is within the scope where the provisions of Article 67-15 of the Act on Special
Measures Concerning Taxation are applied, as well as within the limit of reserve for reduction entry stipulated in Article 66-2 of the
Act on Special Measures Concerning Taxation, as provision of reserve for reduction entry. As a result, the DPU for the 18th Fiscal
Period was ¥5,180.
Fiscal period

14th Fiscal Period

15th Fiscal Period

16th Fiscal Period

17th Fiscal Period

18th Fiscal PeriodBusiness period

From Feb. 1, 2017
to Jul. 31, 2017

From Aug. 1, 2017
to Jan. 31, 2018

From Feb. 1, 2018
to Jul. 31, 2018

From Aug. 1, 2018
to Jan. 31, 2019

From Feb. 1, 2019
to Jul. 31, 2019

Unappropriated retained earnings¥2,608,344 thousand¥2,674,584 thousand ¥3,191,695 thousand ¥3,172,709 thousand ¥3,448,336 thousand

Retained earnings¥17 thousand

Total distributions¥2,638,651 thousand[Distribution per unit (DPU)]
Of which, total earnings
distributions[Earnings distribution per unit][¥4,681]¥2,638,651 thousand¥186 thousand¥285,330 thousand¥149,557 thousand¥149,456 thousand¥2,698,966 thousand ¥2,926,165 thousand ¥3,040,628 thousand ¥3,319,520 thousand[¥4,788][¥4,985][¥5,180][¥5,180]¥2,698,966 thousand ¥2,926,165 thousand ¥3,040,628 thousand ¥3,319,520 thousand[¥4,681][¥4,788][¥4,985][¥5,180][¥5,180]¥– thousand¥– thousand¥– thousand¥– thousand¥– thousand[Return on unitholders’ capitalper unit]

[¥–]

[¥–]

[¥–]

[¥–]

[¥–]

Of the total return on
unitholders’ capital, the total
distribution payments from theallowance for temporary
difference adjustment¥– thousand¥– thousand¥– thousand¥– thousand¥– thousand[Of the return on unitholders’capital per unit, the distribution
payment from the allowance fortemporary difference adjustment
per unit][¥–]

Of the total return on
unitholders’ capital, the total
distribution payments frominvestments and other decreased
distribution under tax laws¥– thousand[Of the total return on
unitholders’ capital per unit, thedistribution payments frominvestments and other decreased
distribution under tax laws][¥–]

Of which, total return on
unitholders’ capitalFounded on our basic policies of investment management, the Investment Corporation acquired 10 properties and sold a property
during the 18th Fiscal Period, and has carried out investment and management based on the concept and expertise incorporated into
the urban rental residence Comforia series, which Tokyu Land Corporation (hereinafter referred to as “Tokyu Land”) has been
producing. Going forward, we aim to achieve medium- to long-term growth by continuing to carry out investment and management
based on our basic policies.
(1) External growth strategy
The Investment Corporation aims to acquire higher quality assets and expand the asset size, fully utilizing the support of the
Tokyu Fudosan Holdings Group, primarily the sponsor support of Tokyu Land, and original information from TLC REITManagement Inc., its asset management company (hereinafter referred to as the “Asset Management Company”).
Specifically, we will acquire properties developed by our sponsor, Tokyu Land, using the sponsor support agreement the AssetManagement Company entered into with Tokyu Land, and continually and steadily acquire quality residential properties thatare under stable operation. In addition, we intend to utilize real estate brokerage capabilities through the vast information
network of Tokyu Fudosan Holdings Group companies, who are not our sponsors, to acquire quality residential properties,
achieve stable operation and enhance profitability. Based on this perspective, the Asset Management Company has enteredinto a support agreement with each of the seven support companies of the Tokyu Fudosan Holdings Group companies (Tokyu
Livable, Inc., Tokyu Community Corp., Tokyu Housing Lease Corporation, National Students Information Center Co., Ltd.,
Tokyu E-Life Design Inc., Ewel Inc. and Tokyu SportsOasis, Inc.,) for managed assets of the Investment Corporation.
(2) Internal growth strategy
With the aim of maximizing portfolio value and cash flows from individual properties from a medium- to long-term perspective
and to make the most of the experience and comprehensive strength of the Tokyu Fudosan Holdings Group in property
management, we will consign property management operations mainly to Tokyu Fudosan Holdings Group companies, whichhave extensive experience in the management of J-REITs and the Comforia series. In addition, we will strive for efficientmanagement by examining the adequacy of building management specifications and costs.
Furthermore, we will actively utilize the expertise of Tokyu Fudosan Holdings Group in asset and fund management to achieve
higher-quality overall management of the Investment Corporation. Moreover, as we believe that endeavors on the issues ofenvironmental and social considerations and reinforced governance, among other matters, should contribute to the progress ofa sustainable society, we will aim to achieve growth over a medium to long term by conducting asset management based onsuch thinking.
In the 19th Fiscal Period and onwards, we will continue to aim to maintain and improve occupancy rates by closely monitoring
the property management situation, as we did in the 18th Fiscal Period.
(3) Financial strategy
In consideration of addressing future interest rate risk and refinance risk, we will carry out funding activities by paying attention
to financial soundness and earnings stability. With regard to debt, we will efficiently combine short-term funding that focuseson agility with long-term stable funding. Furthermore, we will consider the issuance of new investment units in accordancewith financing needs for property acquisition and the financial situation of the Investment Corporation, while paying attention
to the market development and distribution level, with the upper limit of the ratio of interest-bearing debt to total assets (LTV)
at around 60%.

6. Significant Subsequent Events
Not applicable
[¥–]

[¥–]

[¥–]

[¥–]

(Reference Information)
A. Property Acquisition¥– thousand¥– thousand¥– thousand¥– thousand

The Investment Corporation plans to acquire the following property:
Property name[¥–](Note) Figures above are rounded down to the nearest unit.

24

5. Future Investment Policy and Issues to Address

- 4 -

[¥–]

[¥–]

[¥–]

Type of specified
asset

Location

Plannedacquisition price(thousands of yen)
(Note 1)Main usage

Planned acquisition
date

COMFORIA GINZA EAST
Property in trust
Chuo-ku, Tokyo
2,380,000
Apartment building September 30, 2019
NIBANKAN(Note 1) The planned acquisition price does not include miscellaneous expenses required for the acquisition of each property,
fixed property tax, city planning tax, consumption tax and local consumption tax.
(Note 2) Although the current property name is “GINZA RESIDENCE NIBANKAN”, the Investment Corporation plans tochange the name to “COMFORIA GINZA EAST NIBANKAN” in about a month after acquiring it.

- 5 -

25

Overview of the Investment Corporation
Overview of the Investment Corporation
1. Unitholders’ Capital
14th Fiscal
Period15th Fiscal
Period16th Fiscal
Period17th Fiscal
Period18th Fiscal
PeriodAs ofJul. 31, 2017

As ofJan. 31, 2018

As ofJul. 31, 2018

As ofJan. 31, 2019

As ofJul. 31, 2019

Total number of authorized
investment units(units)8,000,000

8,000,000

8,000,000

8,000,000

8,000,000

Total number of investment
units issued(units)563,694563,694586,994586,994

640,834

Unitholders’ capital(millions of yen)

94,557

94,557

99,814

99,814

114,045

Number of unitholders(people)

7,897

7,269

6,847

5,845

5,674

2. Matters concerning Investment Units
Major unitholders as of July 31, 2019 are as follows.
Number of investment units
owned (units)

Name

Ratio to the total number ofinvestment units issued (%) (Note)

Japan Trustee Services Bank, Ltd. (trust account)

139,383

21.75

The Master Trust Bank of Japan, Ltd. (trust account)

97,646

15.23

Tokyu Land Corporation

57,048

8.90

The Nomura Trust & Banking Co., Ltd. (trust account)

25,218

3.93

Trust & Custody Services Bank, Ltd.
(securities trust investment account)

18,774

2.92

Mitsubishi UFJ Trust and Banking Corporation(Standing proxy: The Master Trust Bank of Japan, Ltd.)12,084

1.88

Trust & Custody Services Bank, Ltd.
(taxable trust money account)

10,7201.67

Mitsubishi UFJ Morgan Stanley Securities Co., Ltd.

9,934

1.55

Rakuten General Insurance Co., Ltd.

9,822

1.53

The State Street Bank West Client—Treaty 505234(Standing proxy: Settlement & Clearing Services Department,
Mizuho Bank, Ltd.)

9,488

1.48

Total

390,11760.87(Note)(2) Policy for decisions on dismissal or non-reappointment of Independent Auditor
The Board of Directors shall, with the consent of all its members, dismiss the Independent Auditor if it is deemed that it falls
under any of the grounds set forth in each item of Paragraph 1 of Article 105 of the Investment Trusts Act, and when it isdetermined that there is no hope for improvement.
In addition, when it is determined that an Independent Auditor is not fit for his or her role, upon comprehensive examinationof their execution of duties as the Independent Auditor and other various circumstances, the Board of Directors shall dismissor not reappoint said Independent Auditor with the consent of all of its members, and forward a proposal for the appointmentof a new Independent Auditor to the unitholders’ meeting.

4. Asset Management Company, Asset Custodian and General Administration
The asset management company, asset custodian and general administration as of July 31, 2019 are as follows.
Consignment segment

Name

Asset management company

TLC REIT Management Inc.

Asset custodian

Mitsubishi UFJ Trust and Banking Corporation

General administration (unitholder registry administration)

Mitsubishi UFJ Trust and Banking Corporation

General administration (accounting service)

Heiseikaikeisha Tax Corporation (Note)

General administration (administrative service)

Mitsubishi UFJ Trust and Banking Corporation

General administration (corporation bond service)

Sumitomo Mitsui Trust Bank, Limited, MUFG Bank, Ltd.

(Note)In accordance with the reorganization of Heiseikaikeisha Tax Corporation, the assignment was succeeded by Reiwakaikeisha Tax Corporation as of
September 1, 2019.

The ratio of investment units owned to the total number of investment units issued is rounded down to the second decimal place.

3. Matters concerning Directors, etc.
(1) Name of directors, etc.
The names of directors, etc. during the 18th Fiscal Period are as follows.
Position

Name of director,
etc.

Main concurrent posts

Total amount of remuneration
paid during the period(thousands of yen)

Executive
Director(Note 1)

Takehiro Izawa

Executive Director, Chief Division Officer ofComforia Management Division, TLC REITManagement Inc.

–

Supervisory
Director(Note 1)

Yoshihiro
KataokaHead of Kataoka & Kobayashi
Outside Audit & Supervisory Board Member,
The Higo Bank, Ltd.

1,800

Supervisory
Director(Note 1)

Koji Yamamoto

Partner, WAKABA PARTNERS Law andAccounting Office
Supervisory Officer, Toshi Saisei Fund Investment
Corporation

1,800

Independent
AuditorErnst & Young
ShinNihon LLC(Note 2)–

15,842(Note 1) None of the Executive Director or Supervisory Directors own investment units in the Investment Corporation, either in their own name or insomeone else’s name. Furthermore, although Supervisory Directors may be officers of a corporation other than those mentioned above, neither
one has an interest in the Investment Corporation.
(Note 2) The amount includes the fees pertaining to the production of an “Auditor’s Comfort Letter to Lead Underwriting Firm” related to the issuanceof investment corporation bonds conducted in July 2019.

- 6 -

26

- 7 -

27

Status of Managed Assets of Investment Corporation
Status of Managed Assets of the Investment Corporation
3. Statement of Properties Incorporated in the Portfolio

1. Composition of Assets of the Investment Corporation
Type ofasset

17th Fiscal Period(as of January 31, 2019)

Area

Total amount owned(millions of yen) (Note 1)

The overview of assets under management of the Investment Corporation as of July 31, 2019 is as follows.

18th Fiscal Period(as of July 31, 2019)

Percentage of total
assets (%) (Note 2)

Total amount owned(millions of yen) (Note 1)

Percentage of total
assets (%) (Note 2)

Area

1,134

0.5

1,131

0.5

Sub-central Tokyo

4,934

2.2

4,915

2.0

Other major cities

1,026

0.5

-

-

Central Tokyo

85,21038.1

86,14434.9

Properties Sub-central Tokyo
in trust Tokyo metropolitan area

91,87941.0

109,701

44.5

7,593

3.4

9,911

4.0

14,193

6.3

14,1005.7

Subtotal

205,97292.0

225,905

91.6

Deposits and other assets

17,8578.0

20,592

8.4

Total assets

223,829100.0

246,498

100.0

Other major cities(Note 1)
(Note 2)

“Total amount owned” indicates the amount posted on the balance sheets as of the closing of accounts (the book value after depreciation for real estateand properties in trust).
The sum may not total 100.0% since figures are rounded to the first decimal place.

2. Major Assets Owned
The overview of major assets owned by the Investment Corporation (top 10 properties in terms of period-end book value) is asfollows.
Rentable area(m2)

Rented area
(m2)

COMFORIA SHINJUKUEASTSIDE TOWER

13,21548,267.60

46,136.35

95.6

18.1

Apartment
building

COMFORIA KAMATA

5,808

6,027.98

5,924.06

98.3

1.9

Apartment
building

COMFORIA SHIBUYA WEST

5,504

4,278.52

4,065.50

95.0

1.6

Apartment
building

COMFORIA KOMABA

5,156

5,342.38

5,062.81

94.8

Apartment
1.7
building

COMFORIA
MINAMISUNAMACHI

4,700

6,141.98

5,895.30

96.0

1.6

Apartment
building

COMFORIA AKIHABARA
EAST

4,483

4,582.07

4,526.53

98.8

1.4

Apartment
building

GRANCREER CENTERMINAMI

4,274

18,235.67

18,235.67

100.0

1.4

Homes forthe elderly

COMFORIA KITASANDO

4,200

4,966.06

4,807.83

96.8

1.6 Residence

COMFORIA
ITABASHINAKAJUKU

3,929

6,966.04

6,899.92

99.1

1.5

Apartment
building

COMFORIAHIGASHIIKEBUKURO WEST

3,710

6,436.14

6,187.50

96.1

1.9

Apartment
building

Total

54,984111,244.44

107,741.47

96.9

32.6

- 8 -

28

Central Tokyo

Ratio to total
Occupancy rate
rental revenues Main usage(%)(%)

Book value(millions of yen)

Property name

Address

Ownership form

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)
(Note 1)

Central TokyoReal
estateProperty name
COMFORIA NIHONBASHININGYOCHO

3-5-10 Nihonbashi Ningyocho, Chuo-ku, Tokyo

COMFORIA WASEDA

147 Bentencho, Shinjuku-ku, Tokyo

COMFORIA SHIMOOCHIAI

2-7-10 Nakaochiai, Shinjuku-ku, Tokyo

COMFORIA HIGASHINAKANO

4-34-2 Kita-Shinjuku, Shinjuku-ku, Tokyo

COMFORIA GINZA EAST

1-3-1 Irifune, Chuo-ku, Tokyo

COMFORIA AZABUDAI

3-4-4 Azabudai, Minato-ku, Tokyo

COMFORIA SHIBAKOEN

2-2-15 Shibakoen, Minato-ku, Tokyo

COMFORIA NISHIAZABU

4-1-10 Nishiazabu, Minato-ku, Tokyo

COMFORIA MINAMIAOYAMA

4-1-12 Minami-Aoyama, Minato-ku, Tokyo

COMFORIA NISHIWASEDA

1-5-19 Takadanobaba, Shinjuku-ku, Tokyo

COMFORIA HARAJYUKU

3-61-3 Sendagaya, Shibuya-ku, Tokyo

COMFORIA MITA NORTH

2-7-16 Mita, Minato-ku, Tokyo

COMFORIA SHIBAURABOWHOUSE

3-13-12 Kaigan, Minato-ku, Tokyo

COMFORIASHIROKANETAKANAWA

5-1-21 Mita, Minato-ku, Tokyo

COMFORIA NIHONBASHININGYOCHO EAST

3-6-3 Nihonbashi Ningyocho, Chuo-ku, Tokyo

COMFORIA ATAGO

3-23-7 Toranomon, Minato-ku, Tokyo

COMFORIA KUDAN

2-6-12 Kudan Minami, Chiyoda-ku, Tokyo

COMFORIA NIHONBASHININGYOCHO NORTH

1-1-6 Nihonbashi Horidomecho, Chuo-ku, Tokyo

COMFORIA SHINKAWA

2-15-5 Shinkawa, Chuo-ku, Tokyo

COMFORIA AKASAKA

2-17-63 Akasaka, Minato-ku, Tokyo

COMFORIA MITA EAST

4-18-1 Shiba, Minato-ku, Tokyo

COMFORIA SHIBAURA CANAL

3-1-9 Kaigan, Minato-ku, Tokyo- 9 -Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

2,270

1,517

2,600

1,860

1,650

1,092

724

544

4,280

2,958

830

551

1,900

1,375

1,030

724

1,610

1,097

2,250

1,589

5,150

3,554

1,090

855

3,560

2,547

1,740

1,303

2,660

2,060

1,010

839

1,600

1,311

1,380

1,071

2,230

1,788

2,790

1,912

3,960

3,081

1,910

1,558

29

Area

Property name

Address

Ownership form

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)Area

Property name

Address

Ownership form

(Note 1)

(Note 1)4-5-10 Sendagaya, Shibuya-ku, Tokyo

COMFORIA YOYOGIUEHARA

2-31-5 Uehara, Shibuya-ku, Tokyo

COMFORIA SASAZUKA

1-59-10 Sasazuka, Shibuya-ku, Tokyo

Central Tokyo

COMFORIA SHINJUKUGYOEN II 1-13-3 Shinjuku, Shinjuku-ku, Tokyo
COMFORIA
ICHIGAYAYANAGICHO

18-2 Ichigaya Yanagicho, Shinjuku-ku, Tokyo

COMFORIA KAGURAZAKA

26-1 Iwatocho, Shinjuku-ku, Tokyo

COMFORIA NIBANCHO

4-8 Nibancho, Chiyoda-ku, Tokyo

COMFORIA NISHISHINJUKU

1-20-12 Kita-Shinjuku, Shinjuku-ku, Tokyo

COMFORIA KANDAJINBOCHO

1-42-2 Kanda Jinbocho, Chiyoda-ku, Tokyo

COMFORIA NIHONBASHI

1-2-2 Nihonbashi Bakurocho, Chuo-ku, Tokyo

COMFORIA TAMACHI

4-5-13 Shibaura, Minato-ku, Tokyo

COMFORIA AZABUJUBAN

1-2-15 Mita, Minato-ku, Tokyo

COMFORIA SHINJUKUGYOEN I 1-10-4 Shinjuku, Shinjuku-ku, Tokyo
COMFORIA KAGURAZAKA
DEUX

7-3 Iwatocho, Shinjuku-ku, Tokyo

COMFORIA AZABU EAST

2-29-1 Higashi-Azabu, Minato-ku, Tokyo

COMFORIA SHINJUKUEASTSIDE TOWER(Tower Building)
6-27-29 Shinjuku, Shinjuku-ku, Tokyo(Annex Building)
6-27-28 Shinjuku, Shinjuku-ku, Tokyo(Gate Building)
6-27-14 Shinjuku, Shinjuku-ku, Tokyo

COMFORIA ICHIGAYAYAKUOJI

74-23 Ichigayayakuojimachi, Shinjuku-ku, Tokyo

COMFORIA AKIHABARA EAST

2-9-19 Higashikanda, Chiyoda-ku, Tokyo

COMFORIA MITA TROIS

3-43-6 Shiba, Minato-ku, Tokyo

COMFORIA SHIBAURA

2-3-33 Shibaura, Minato-ku, Tokyo

COMFORIA SHINJUKU

5-8-20 Shinjuku, Shinjuku-ku, Tokyo

COMFORIAHIGASHINIHONBASHI

3-6-4 Higashi-Nihonbashi, Chuo-ku, Tokyo

Subtotal30- 10 -

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Real estate
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

5,020

4,200

COMFORIA BUNKYOKASUGA

1-15-12 Nishikata, Bunkyo-ku, Tokyo

1,860

1,596

COMFORIAASAKUSAMATSUGAYA

1-11-5 Matsugaya, Taito-ku, Tokyo

2,320

1,753

COMFORIA NISHIOI

6-6-1 Nishi-Oi, Shinagawa-ku, Tokyo

2,170

1,760

COMFORIA NAKANO

2-40-12 Kamitakada, Nakano-ku, Tokyo

COMFORIA SHIMOKITAZAWA

1-9-14 Hanegi, Setagaya-ku, Tokyo

2,000

1,584

COMFORIA NISHIKAMATA

6-37-3 Nishi-Kamata, Ota-ku, Tokyo

905

717

COMFORIA OYAMA

4-4 Oyamacho, Itabashi-ku, Tokyo

2,040

1,637

1,850

1,694

1,740

COMFORIA
3-2-13 Miyoshi, Koto-ku, Tokyo
KIYOSUMISHIRAKAWA SOUTH
COMFORIA KOMAZAWA

2-1-5 Komazawa, Setagaya-ku, Tokyo

1,482

COMFORIA KOISHIKAWA

2-17-27 Koishikawa, Bunkyo-ku, Tokyo

2,320

1,950

COMFORIA SENGOKU

4-3-20 Sengoku, Bunkyo-ku, Tokyo

3,860

3,370

COMFORIA
DAIKANYAMAAOBADAI

2-1-7 Aobadai, Meguro-ku, Tokyo

1,660

1,467

COMFORIA IKEBUKURO

2-57-1 Ikebukuro, Toshima-ku, Tokyo

1,560

1,407

COMFORIA
RYOGOKUISHIWARA

1-36-1 Ishiwara, Sumida-ku, Tokyo

1,470

1,246

COMFORIA ASAKUSABASHI
DEUX

5-24-10 Asakusabashi, Taito-ku, Tokyo

COMFORIA OSHIAGE

4-7-2 Narihira, Sumida-ku, Tokyo

3,190

1,914

COMFORIA
HONJOAZUMABASHI

2-11-12 Honjo, Sumida-ku, Tokyo

COMFORIA
KIYOSUMISHIRAKAWA TROIS

3-5-14 Shirakawa, Koto-ku, Tokyo

16,20013,215Sub-central Tokyo

COMFORIA KITASANDO

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

COMFORIA MONZENNAKACHO 16-8 Fuyuki, Koto-ku, Tokyo
993

984

4,950

4,483

937

933

1,150

1,131

2,340

2,278

1,250

1,265

110,00987,276

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)

COMFORIA HIMONYA

2-3-3 Himonya, Meguro-ku, Tokyo

COMFORIA MISYUKU

3-23-2 Ikejiri, Setagaya-ku, Tokyo

COMFORIA GAKUGEIDAIGAKU 6-46-6 Shimouma, Setagaya-ku, Tokyo
COMFORIA HIGASHINAKANO
DEUX

4-2-19 Higashi-Nakano, Nakano-ku, Tokyo

COMFORIAHIGASHIIKEBUKURO WEST

3-22-21 Higashi-Ikebukuro, Toshima-ku, Tokyo

COMFORIA RYOGOKU DEUX

1-2-10 Chitose, Sumida-ku, Tokyo- 11 -

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

2,030

1,369

1,260

828

1,090

867

1,070

897

3,490

2,386

2,180

1,438

2,460

1,923

972

683

1,740

1,216

689

552

1,770

1,250

1,400

913

705

563

846

610

1,070

839

872

688

960

735

1,080

828

3,310

2,512

1,600

1,171

2,480

1,789

1,600

1,110

1,130

797

5,450

3,710

1,360

1,004

31

Area

Property name

Address

Ownership form

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)Area

Property name

Address

Ownership form

(Note 1)

5-51-7 Arakawa, Arakawa-ku, Tokyo

COMFORIA ASAKUSABASHI

2-20-10 Yanagibashi, Taito-ku, Tokyo

COMFORIA RYOGOKU SOUTH

2-14-8 Chitose, Sumida-ku, Tokyo

COMFORIA TOYOSU

1-4-12 Edagawa, Koto-ku, Tokyo

COMFORIA SUMIDATACHIBANA

5-18-5 Tachibana, Sumida-ku, Tokyo

COMFORIA UENOHIROKOJI

3-17-4 Ueno, Taito-ku, Tokyo

Sub-central Tokyo

COMFORIA KASUGATOMISAKA 1-11-18 Kasuga, Bunkyo-ku, Tokyo
COMFORIA HONKOMAGOME

2-29-24 Honkomagome, Bunkyo-ku, Tokyo

COMFORIA MORISHITA

3-6-8 Shin-Ohashi, Koto-ku, Tokyo

COMFORIA KIBAKOEN

2-17-7 Kiba, Koto-ku, Tokyo

COMFORIA MEGUROCHOJAMARU

2-6-25 Kami-Osaki, Shinagawa-ku, Tokyo

COMFORIA NISHIMAGOME

2-35-8 Nishi-Magome, Ota-ku, Tokyo

COMFORIAHIGASHIIKEBUKURO EAST

2-8-1 Higashi-Ikebukuro, Toshima-ku, Tokyo

COMFORIAHIGASHIIKEBUKURO

4-3-5 Higashi-Ikebukuro, Toshima-ku, Tokyo

COMFORIA KOMABA

4-8-25 Ikejiri, Setagaya-ku, Tokyo

COMFORIA KINSHICHO

3-8-6 Taihei, Sumida-ku, Tokyo

COMFORIA
MINAMISUNAMACHI

4-4-20 Minamisuna, Koto-ku, Tokyo

COMFORIAHIGASHISHINAGAWA

3-22-11 Higashi-Shinagawa,Shinagawa-ku, Tokyo

COMFORIA MEGUROYAKUMO

1-12-10 Yakumo, Meguro-ku, Tokyo

COMFORIA YOGA

3-24-3 Yoga, Setagaya-ku, Tokyo

COMFORIA
ITABASHINAKAJUKU

62-2 Nakajuku, Itabashi-ku, Tokyo

COMFORIA SHINAGAWA EAST

1-20-8 Kitashinagawa, Shinagawa-ku, Tokyo

COMFORIA OJIMACOMFORIA OMORI TROIS

4-8-10 Ojima, Koto-ku, Tokyo
3-36-7 Omorikita, Ota-ku, Tokyo

COMFORIA BUNKYO HAKUSAN 1-3-2 Honkomagome, Bunkyo-ku, Tokyo32- 12 -

1,170

COMFORIA KAMATA

4-21-2 Kamata, Ota-ku, Tokyo

920

587

COLLEGE COURTHACHIMANYAMA

1-15-1 Kamitakaido, Suginami-ku, Tokyo

3,540

2,553

COMFORIA UENOIRIYA

2-6-8 Ryusen, Taito-ku, Tokyo

1,660

1,184

COMFORIA IKEJIRI

2-31-18 Ikejiri, Setagaya-ku, Tokyo

3,780

2,951

COMFORIA
SETAGAYAKAMIUMA

3-6-11 Kamiuma, Setagaya-ku, Tokyo

1,010

932

COMFORIA
AKABANEIWABUCHI

26-11 Iwabuchimachi, Kita-ku, Tokyo

1,310

1,076

COMFORIA RYOGOKU TROIS

1-5-15 Kamezawa, Sumida-ku, Tokyo

COLLEGE SQUAREHACHIMANYAMA

1-15-2 Kamitakaido, Suginami-ku, Tokyo

3,710

2,828

COMFORIA KINSHICHO DEUX

2-10-20 Mori, Koto-ku, Tokyo

1,720

1,298

COMFORIA KAMEIDO SOUTH

6-25-5 Kameido, Koto-ku, Tokyo

1,780

1,465

COMFORIA SHIBUYA WEST

4-4-5 Aobadai, Meguro-ku, Tokyo

COMFORIAASAKUSAKOMAGATA

2-4-7 Komagata, Taito-ku, Tokyo

COMFORIA OMORIKASHIMA

6-20-10 Oi, Shinagawa-ku, Tokyo

COMFORIA OMORIMACHI

4-11-5 Omori-nishi, Ota-ku, Tokyo

COMFORIA KAMIIKEDAI

5-7-22 Kamiikedai, Ota-ku, Tokyo

CAMPUS VILLAGESHIINAMACHI

3-2-19 Nagasaki, Toshima-ku, Tokyo

1,150
2,490
1,080
2,460

Sub-central Tokyo

COMFORIA MACHIYA

1,450

918
1,960
967
1,654

1,430

1,134

5,690

5,156

1,280

1,042

5,040

4,700

1,770

1,533

926

847

1,150

1,061

4,430

3,929

Subtotal
COMFORIA ICHIKAWAMYODEN 1-9-10 Shioyaki, Ichikawa-shi, Chiba

Tokyo metropolitan area

3-4-2 Omorikita, Ota-ku, Tokyo(Note 1)COMFORIA YATSUKA

3-38-3 Sezaki, Soka-shi, Saitama

COMFORIA SHINKOYASU

2-216-2 Koyasudori, Kanagawa-ku, Yokohamashi, Kanagawa

COMFORIA GYOTOKU

2-1-13 Gyotokuekimae, Ichikawa-shi, Chiba

GRANCREER CENTER-MINAMI

40-3 Chigasaki Chuo, Tsuzuki-ku, Yokohama-shi,
Kanagawa

COMFORIA TAMA-PLAZA

2-12-1 Utsukushigaoka, Aoba-ku, Yokohama-shi,
Kanagawa
Subtotal

1,600

1,488

2,290

2,231

992

916

1,440

1,442

Other major cities

COMFORIA OMORI DEUX

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Real estate
Real estate
Beneficial
interest in realestate trust

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)

COMFORIA SHIN-OSAKA

1-21-24 Higashi-Nakajima, Higashi-Yodogawaku, Osaka-shi, Osaka

COMFORIA SHINSAKAE

2-28-18 Shinsakae, Naka-ku, Nagoya-shi, Aichi

COMFORIA KITASANJO

2-2-51 Kita-Sanjo Higashi, Chuo-ku, Sapporoshi, Hokkaido- 13 -

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Real estate
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

6,490

5,808

1,260

1,268

2,340

2,226

1,430

1,394

2,820

2,677

2,630

2,776

1,700

1,767

909

907

2,300

2,279

2,130

2,114

5,900

5,504

1,320

1,327

883

915

1,140

1,162

1,970

1,945

2,810

2,813

136,744

114,616

749

595

723

606

1,250

1,037

1,040

1,038

4,220

4,274

2,270

2,359

10,252

9,911

2,890

2,278

1,740

1,647

1,030

663

33

Area

Property name

Address

Ownership form

Other major cities(Note 1)COMFORIA SAPPOROSHOKUBUTSUEN

10-1-6 Kitanijo-Nishi, Chuo-ku, Sapporo-shi,
Hokkaido

COMFORIA OGIMACHI

3-7-15 Tenjinbashi, Kita-ku, Osaka-shi, Osaka

COMFORIA SHINSAIBASHI
EAST

2-6-8 Bakuromachi, Chuo-ku, Osaka-shi, Osaka

COMFORIA KYOMACHIBORI

1-16-14 Kyomachibori, Nishi-ku, Osaka-shi,
Osaka

COMFORIA AWAZA

1-5-5 Enokojima, Nishi-ku, Osaka-shi, Osaka

COMFORIA KITAHAMA

2-1-14 Imabashi, Chuo-ku, Osaka-shi, Osaka(Note 1)

17th Fiscal Period(from August 1, 2018 to January 31, 2019)
Area

1,330

1,303

1,540

1,505

2,030

2,025

1,690

1,596

1,410

1,318

1,820

1,762

15,480272,485

14,100225,905“Appraisal value at end of period” indicates the appraisal value by a real estate appraiser (based on real estate appraisal reports or research reports
prepared by the Japan Real Estate Institute, Daiwa Real Estate Appraisal Co., Ltd., The Tanizawa Sōgō Appraisal Co., Ltd., JLL Morii Valuation &Advisory K.K. and Japan Valuers Co., Ltd., with the account closing date as the date of value estimate), pursuant to the method of asset appraisal
stipulated in the Articles of Incorporation of the Investment Corporation as well as the “Ordinance on Accountings of Investment Corporations”(Cabinet Office Ordinance No. 47 of 2006).
“Book value” indicates the acquisition price (including miscellaneous expenses related to the acquisition) as of the end of the 18th Fiscal Period(July 31, 2019) minus accumulated depreciation.

Sub-central Tokyo

Central Tokyo(Note 2)

Subtotal
Total

Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust

The overview of the rental business by assets under management of the Investment Corporation is as follows.

Appraisal value
Book value
at end of period(millions of yen)(millions of yen)
(Note 2)34

- 14 -

Property name

COMFORIA NIHONBASHININGYOCHOCOMFORIA WASEDACOMFORIA SHIMOOCHIAICOMFORIA HIGASHINAKANOCOMFORIA GINZA EASTCOMFORIA AZABUDAICOMFORIA SHIBAKOENCOMFORIA NISHIAZABUCOMFORIA MINAMIAOYAMACOMFORIA MINAMIAOYAMADEUX (Note 3)
COMFORIA NISHIWASEDACOMFORIA HARAJYUKUCOMFORIA MITA NORTHCOMFORIA SHIBAURABOWHOUSECOMFORIASHIROKANETAKANAWACOMFORIA NIHONBASHININGYOCHO EASTCOMFORIA ATAGOCOMFORIA KUDANCOMFORIA NIHONBASHININGYOCHO NORTHCOMFORIA SHINKAWACOMFORIA AKASAKACOMFORIA MITA EASTCOMFORIA SHIBAURA CANALCOMFORIA KITASANDOCOMFORIA YOYOGIUEHARACOMFORIA SASAZUKACOMFORIA SHINJUKUGYOEN II
COMFORIA
ICHIGAYAYANAGICHOCOMFORIA KAGURAZAKACOMFORIA NIBANCHOCOMFORIA NISHISHINJUKUCOMFORIA KANDAJINBOCHOCOMFORIA NIHONBASHICOMFORIA TAMACHICOMFORIA AZABUJUBANCOMFORIA SHINJUKUGYOEN I
COMFORIA KAGURAZAKA DEUXCOMFORIA AZABU EASTCOMFORIA SHINJUKUEASTSIDE TOWERCOMFORIA ICHIGAYAYAKUOJI
COMFORIA AKIHABARA EASTCOMFORIA MITA TROISCOMFORIA SHIBAURACOMFORIA SHINJUKUCOMFORIAHIGASHINIHONBASHI
Subtotal
COMFORIA BUNKYOKASUGACOMFORIAASAKUSAMATSUGAYACOMFORIA NISHIOICOMFORIA NAKANOCOMFORIA SHIMOKITAZAWACOMFORIA NISHIKAMATACOMFORIA OYAMACOMFORIA
KIYOSUMISHIRAKAWA SOUTH

18th Fiscal Period(from February 1, 2019 to July 31, 2019)

Ratio toRatio toTotal number Occupancy rate Rental revenue
Total number Occupancy rate Rent revenue
total
total
(at end of period)(at end of period)of tenantsoftenants(during period) rental (at end of period)(during period) rental(%)(%)(at end of period)(thousandsofyen)(thousandsofyen)revenues
revenues(Note 1)
(Note 2)
(Note 1)
(Note 2)
(%)
(%)

1

100.0

59,328

0.8

1

97.5

61,611

0.7

1
1
1
1
1
1
1
1

95.3
100.0
97.6
98.9
94.3
96.7
95.8
100.0

66,18647,12922,084
117,252
21,95950,25927,36842,119

0.8
0.6
0.3
1.5
0.3
0.6
0.3
0.5

1
1
1
1
1
1
1
1

96.9
98.3
97.6
98.2
100.0
100.0
100.0
96.8

67,12449,51022,093
118,865
22,356
51,12026,93545,355

0.8
0.6
0.3
1.4
0.3
0.6
0.3
0.5

－

－

5,275

0.1

－

－

－

－

1
1

62,958
126,733
29,398

0.8
1.6
0.4

1
1

1

100.0
94.7
96.6

1

97.2
100.0
100.0

62,479127,935
29,723

0.7
1.5
0.4

1

91.0

96,136

1.2

1

95.8

92,564

1.1

1

94.7

45,285

0.6

1

89.6

45,458

0.5

1

96.8

68,068

0.9

1

98.0

69,005

0.8

1
1

95.0
93.9

28,40240,903

0.4
0.5

1
1

87.5
100.0

28,50741,705

0.3
0.5

1

97.2

36,669

0.5

1

100.0

37,684

0.4

1
1
1
1
1
1
1
1

100.0
97.5
95.8
96.8
93.8
93.5
96.0
95.2

60,894
61,824
103,783
53,833
133,476
49,86566,89555,039

0.8
0.8
1.3
0.7
1.7
0.6
0.9
0.7

1
1
1
1
1
1
1
1

100.0
92.5
98.6
97.9
96.8
98.4
97.9
100.0

59,98264,210103,687
56,838134,069
51,58767,54656,416

0.7
0.8
1.2
0.7
1.6
0.6
0.8
0.7

1

96.0

52,411

0.7

1

97.1

50,442

0.6

1
1
1
1
1
1
1
1
1
1

97.0
90.4
98.5
100.0
94.1
95.9
96.4
98.2
100.0
95.7

23,81049,54047,10344,59764,482
101,900
43,88442,927
41,23074,546

0.3
0.6
0.6
0.6
0.8
1.3
0.6
0.5
0.5
0.9

1
1
1
1
1
1
1
1
1
1

100.0
100.0
97.8
96.9
98.5
99.2
96.4
95.8
94.9
94.4

25,09049,96049,70845,06864,02099,43644,28242,226
40,71076,793

0.3
0.6
0.6
0.5
0.8
1.2
0.5
0.5
0.5
0.9

1

95.4

1,513,540

19.2

1

95.6

1,537,550

18.1

1
1
1
1
1

100.0
98.1
97.1
97.7
98.6

25,129118,284
24,49725,81049,692

0.3
1.5
0.3
0.3
0.6

1
1
1
1
1

89.5
98.8
97.1
95.4
97.2

25,633
119,738
25,387
27,537
55,108

0.3
1.4
0.3
0.3
0.6

－

－

－

－

1

100.0

25,827

0.3

1

96.1

3,922,519

49.8

1

3,998,897

1

96.9
98.1

61,232

47.1
0.7

1

97.9

45,742

0.6

1

95.8

45,559

0.5

1
1
1
1
1

96.6
95.9
95.5
97.3
95.8

31,554
31,822
92,926
66,031
78,848

0.4
0.4
1.2
0.8
1.0

1
1
1
1
1

94.9
95.1
98.7
97.4
94.3

32,24732,51095,23567,40679,854

0.4
0.4
1.1
0.8
0.9

1

100.0

27,816

0.4

1

97.8

28,744

0.3

1

99.0

- 15 -

60,8310.8

35

Ratio to
Ratio toTotal number Occupancy rate Rental revenue
Total number Occupancy rate Rent revenue
total
total
(at end of period)(at end of period)of tenantsof tenants
rentalrental(during
period)(during
period)(%)(%)(at end of period)(thousands of yen) revenues (at end of period)(thousands of yen) revenues

Sub-central Tokyo(Note 1)

36

COMFORIA KOMAZAWACOMFORIA KOISHIKAWACOMFORIA SENGOKUCOMFORIA
DAIKANYAMAAOBADAICOMFORIA IKEBUKUROCOMFORIA
RYOGOKUISHIWARA
COMFORIA ASAKUSABASHI
DEUX
COMFORIA OSHIAGE
COMFORIA
HONJOAZUMABASHICOMFORIA
KIYOSUMISHIRAKAWA TROISCOMFORIA MONZENNAKACHOCOMFORIA HIMONYACOMFORIA MISYUKUCOMFORIA GAKUGEIDAIGAKUCOMFORIA HIGASHINAKANODEUXCOMFORIAHIGASHIIKEBUKURO WEST
COMFORIA RYOGOKU DEUXCOMFORIA OMORI DEUXCOMFORIA MACHIYACOMFORIA ASAKUSABASHICOMFORIA RYOGOKU SOUTH
COMFORIA TOYOSUCOMFORIA SUMIDATACHIBANACOMFORIA UENOHIROKOJI
COMFORIA KASUGATOMISAKACOMFORIA HONKOMAGOMECOMFORIA MORISHITACOMFORIA KIBAKOENCOMFORIA MEGUROCHOJAMARUCOMFORIA NISHIMAGOMECOMFORIAHIGASHIIKEBUKURO EASTCOMFORIAHIGASHIIKEBUKUROCOMFORIA KOMABACOMFORIA KINSHICHOCOMFORIA
MINAMISUNAMACHICOMFORIAHIGASHISHINAGAWACOMFORIA MEGUROYAKUMOCOMFORIA YOGACOMFORIA
ITABASHINAKAJUKUCOMFORIA SHINAGAWA EASTCOMFORIA OJIMACOMFORIA OMORI TROISCOMFORIA BUNKYOHAKUSANCOMFORIA KAMATA
COLLEGE COURTHACHIMANYAMA
COMFORIA UENOIRIYACOMFORIA IKEJIRICOMFORIA
SETAGAYAKAMIUMA(Note 2)

1
1
1

(%)

100.0
95.1
94.3

(Note 1)

(Note 2)43,09821,85852,011

0.5
0.3
0.7

1
1
1

Property name

95.1
95.3
98.3

43,79323,14155,356

0.5
0.3
0.7

95.0

37,113

0.5

1

91.0

33,599

0.4

1

100.0

22,185

0.3

1

100.0

21,910

0.3

1

100.0

25,590

0.3

1

100.0

25,599

0.3

1

95.3

30,399

0.4

1

96.3

30,617

0.4

1

97.4

26,181

0.3

1

100.0

26,807

0.3

1

96.5

28,845

0.4

1

98.2

29,051

0.3

1

90.1

31,491

0.4

1

100.0

31,937

0.4

1
1
1
1

98.6
90.1
96.5
97.2

90,307
41,693
68,404
39,834

1.1
0.5
0.9
0.5

1
1
1
1

98.6
91.8
95.9
94.7

92,911
43,76365,89341,754

1.1
0.5
0.8
0.5

1

98.1

30,856

0.4

1

100.0

30,468

0.4

1

95.2

162,710

2.1

1

96.1

163,229

1.9

1
1
1
1
1
1

98.7
90.4
93.9
97.5
100.0
97.5

37,334
39,13826,353
101,431
48,728
101,920

0.5
0.5
0.3
1.3
0.6
1.3

1
1
1
1
1
1

96.9
98.6
90.9
96.7
97.5
96.0

37,74240,057
26,530101,799
49,604
102,762

0.4
0.5
0.3
1.2
0.6
1.2

1

95.4

32,387

0.4

1

100.0

33,045

0.4

1
1
1
1
1

91.2
96.6
94.4
97.6
100.0

34,752
91,97846,823
49,10032,971

0.4
1.2
0.6
0.6
0.4

1
1
1
1
1

96.1
98.2
100.0
97.5
98.3

34,88992,25946,621
48,55533,258

0.4
1.1
0.5
0.6
0.4

1

94.9

72,080

0.9

1

100.0

71,059

0.8

1

93.3

32,665

0.4

1

98.1

33,227

0.4

1

95.4

66,439

0.8

1

95.7

69,213

0.8

1

94.6

36,458

0.5

1

96.3

38,316

0.5

1
1

98.6
100.0

134,454
35,254

1.7
0.4

1
1

94.8
100.0

141,508
35,376

1.7
0.4

1

95.8

133,343

1.7

1

96.0

136,315

1.6

1

100.0

52,914

0.7

1

100.0

53,166

0.6

1
1

91.7
100.0

26,49832,849

0.3
0.4

1
1

100.0
92.5

26,87632,220

0.3
0.4

1

95.0

121,160

1.5

1

99.1

124,635

1.5

1
1
1
1

96.4
94.0
92.6
96.1

74,24457,881
25,71837,565

0.9
0.7
0.3
0.5

1
1
1
1

1

99.1

155,382

2.0

1

95.6
97.0
98.0
95.6
98.3

79,62860,60426,09437,982
157,898

0.9
0.7
0.3
0.4
1.9

1

100.0

30,222

0.4

1

100.0

30,226

0.4

1

95.4

64,323

0.8

1

1

85.1

27,318

0.3

1

98.5
97.8

61,051
33,967

0.7
0.4

1

95.7

73,156

0.9

1

98.9

73,597

0.9

COMFORIA
AKABANEIWABUCHICOMFORIA RYOGOKU TROISCOLLEGE SQUAREHACHIMANYAMA
COMFORIA KINSHICHO DEUXCOMFORIA KAMEIDO SOUTH
COMFORIA SHIBUYA WEST
COMFORIAASAKUSAKOMAGATACOMFORIA OMORIKASHIMACOMFORIA OMORIMACHICOMFORIA KAMIIKEDAICAMPUS VILLAGESHIINAMACHI
Subtotal
COMFORIA ICHIKAWAMYODENCOMFORIA YATSUKACOMFORIA SHINKOYASUCOMFORIA GYOTOKUGRANCREER CENTER-MINAMICOMFORIA TAMA-PLAZA
Subtotal
COMFORIA SHIN-OSAKACOMFORIA SHINSAKAE
COMFORIA KITAHORIE (Note 4)
COMFORIA KITASANJOCOMFORIA SAPPOROSHOKUBUTSUENCOMFORIA OGIMACHICOMFORIA SHINSAIBASHIEASTCOMFORIA KYOMACHIBORICOMFORIA AWAZACOMFORIA KITAHAMA
Subtotal
Total(Note 1)

(Note 2)
(Note 3)(Note 4)18th Fiscal Period(from February 1, 2019 to July 31, 2019)

Ratio toRatio toTotal number Occupancy rate Rental revenue
Total number Occupancy rate Rent revenue
total
total
(at end of period)(at end of period)of tenantsof tenants
rentalrental(during
period)(during
period)(%)(%)(at end of period)(thousands of yen) revenues (at end of period)(thousands of yen) revenues(Note 1)(%)

1

- 16 -

Area

Sub-central Tokyo

Property name17th Fiscal Period(from August 1, 2018 to January 31, 2019)

Tokyo metropolitan
area

Area

18th Fiscal Period(from February 1, 2019 to July 31, 2019)

Other major cities

17th Fiscal Period(from August 1, 2018 to January 31, 2019)(Note 2)(%)

(Note 1)

(Note 2)

(%)

1

87.0

60,629

0.8

1

92.7

61,769

0.7

1

97.3

40,171

0.5

1

93.8

41,166

0.5

1

100.0

20,976

0.3

1

100.0

20,976

0.2

－

－

－

－

－

－

－

－

－

－

－

－

1
1
1

99.0
100.0
95.0

62,96557,937133,080

0.7
0.7
1.6

－

－

－

－

1

93.2

26,057

0.3

－

－

－

－

－

－

－

－

－

－

－

－

1
1
1

94.2
97.7
95.1

17,601
24,116
37,638

0.2
0.3
0.4

－

－

－

－

1

100.0

42,771

0.5

2

96.1

3,242,784

41.2

1

97.8

24,855

0.3

1

98.4

27,033

0.3

1

91.2

37,632

0.5

1

96.6

26,782

0.3

1

100.0

84,210

1.1

－

－

－

－

2

98.8

200,5122.5

97.2

91,624

1.2

1

96.5

58,393

0.7

1

97.4

31,504

0.4

1

95.5

33,632

0.4

97.0
95.5
96.8
97.7
98.3
100.0
94.8
98.8
96.7
91.0
－
100.0

3,698,801
25,21428,33739,08028,995
120,300
39,814
281,743
91,19055,09828,40236,549

43.6
0.3
0.3
0.5
0.3
1.4
0.5
3.3

1

3
1
1
1
1
1
1
2
1
1
－
1

1

95.2

41,149

0.5

1

88.1

42,080

0.5

1

95.5

43,123

0.5

1

100.0

43,611

0.5

1.1
0.6
0.3
0.4

1

95.1

59,943

0.8

1

99.2

61,610

0.7

1

100.0

48,1340.6

97.8

42,453

0.5

1

100.0

53,712

0.7

1

96.9

503,671

6.4

97.6
97.7
97.7
96.1
97.0

49,49542,82354,058504,9218,484,363

0.6

1

1
1
1
1
4

0.5
0.6

6.0
100.0

3
96.4
7,869,488
100.0“Total number of tenants” indicates the total number of tenants under a direct lease relationship with the Investment Corporation or the trustee (including
tenants planned to have lease relationships). Therefore, in cases where the Investment Corporation or trustee comprehensively leases all of the apartments
for rent from each managed property to the master lease company (hereinafter referred to as the “introduction of a master lease”), and said master lease
company subleases each room for rent to end tenants, the total number of tenants will be shown as “1,” and will not include the number of end tenants
related to the said sublease. Tokyu Housing Lease Corporation, MAINICHICOMNET Co., Ltd., Tokyu Land Corporation and Sigma Japan are the four
master lease companies hired by the Investment Corporation for its assets under management; therefore, the sum of the total number of tenants in the
18th Fiscal Period is set as “4,” which is the total number of master lease companies. Even for managed assets where a master lease is introduced, end
tenants who do not accept the introduction of a master lease will be under a direct lease relationship with the Investment Corporation or trustee. However,the number of said end tenants is not included in the total number of tenants.
“Occupancy rate” is the percentage of rented area vs. the rentable area of each managed asset.
This property was sold to a third party as of November 15, 2018.
This property was sold to a third party as of July 5, 2019.

- 17 -

37

Capital Expenditure for Properties Owned
Capital Expenditure for Properties Owned
4. Statement of Renewable Energy Power Generation Facilities

1. Expected Capital Expenditure

Not applicable

Major capital expenditure that accompanies repair work currently planned for assets already acquired (includes assets undermanagement that were acquired after the account closing date) is as follows. The following expected amount of construction work
includes portions that are separately accounted under expenses.

5. Statement of Operational License of Public Facilities
Not applicable

Property name(location)

6. Statement of Securities Incorporated in the Portfolio
Not applicable

7. Details of Specified Transactions
The amount of specified derivative transactions entered into by the Investment Corporation and fair value as of July 31, 2019 are
as follows.
Segment
Over-the-countertransactions

Type

Contract amount (millions of yen)

Receive floating, pay
fixed interest-rate swap
transactions
Total(Note 1)
(Note 2)

Over 1 year

(Note 1)

Fair value(millions of yen)
(Note 2)

54,67050,970–54,67050,970–The contract amount of the interest-rate swap transactions is based on the notional principal.
The fair value was calculated by the counterparty of the relevant transaction based on the actual market interest rate. The fair value is omitted fortransactions that meet the requirements for special treatment pursuant to the Accounting Standard for Financial Instruments.

8. Other Assets
Trust beneficial interests in properties owned by the Investment Corporation are listed on the aforementioned “3. Statement of
Properties Incorporated in the Portfolio.” As of the end of the 18th Fiscal Period, there is no incorporation in particular of specified
assets as principal investment targets by the Investment Corporation, other than assets in the aforementioned “3. Statement of
Properties Incorporated in the Portfolio,” “4. Statement of Renewable Energy Power Generation Facilities,” “5. Statement of
Operational License of Public Facilities” and “6. Statement of Securities Incorporated in the Portfolio.”

PurposeScheduled period

Expected amount of construction work
(thousands of yen)for
Total amount
Total amount Payment
the period
already paid

COMFORIA TAMA-PLAZA(Yokohama-shi, Kanagawa)

Large-scale repair work

From Jan. 2020
to Jul. 2020

74,900－－

COMFORIA NIHONBASHI(Chuo-ku, Tokyo)

Large-scale repair work

From Aug. 2019
to Jan. 2020

65,400－－

COMFORIA
HONKOMAGOME(Bunkyo-ku, Tokyo)

Large-scale repair work

From Aug. 2019
to Jan. 2020

61,000－－

COMFORIA KAMIIKEDAI(Ota-ku, Tokyo)

Large-scale repair work

From Jan. 2020
to Jul. 2020

57,600－－

COMFORIA YATSUKA(Soka-shi, Saitama)

Large-scale repair work

From Dec. 2019
to Jun. 2020

57,200－－

COMFORIA KOMAZAWA(Setagaya-ku, Tokyo)

Large-scale repair work

From Dec. 2019
to Jun. 2020

52,300－－

COMFORIA SHIMOOCHIAI(Shinjuku-ku, Tokyo)

Large-scale repair work

From Aug. 2019
to Jan. 2020

51,000－－

COMFORIA OMORI DEUX
(Ota-ku, Tokyo)

Large-scale repair work

From Aug. 2019
to Jan. 2020

50,600－－2. Capital Expenditure during the Period
The overview of main construction work corresponding to capital expenditure that took place in the 18th Fiscal Period for the
managed assets owned as of the end of the period is as follows. Capital expenditure during the 18th Fiscal Period was ¥509,917
thousand. Together with repair expenses of ¥ 333,441 thousand that were classified as expenses for the 18th Fiscal Period,
construction work totaling ¥843,358 thousand was carried out.

9. Ownership of Assets by Country and Region
Not applicable for countries and regions other than Japan

Property name(location)
COMFORIA AKABANEIWABUCHI(Kita-ku, Tokyo)
COMFORIA SHIBAKOEN(Minato-ku, Tokyo)
COMFORIA KUDAN(Chiyoda-ku, Tokyo)
COMFORIA BUNKYO HAKUSAN(Bunkyo-ku, Tokyo)
COMFORIA NAKANO(Nakano-ku, Tokyo)
COMFORIA MINAMIAOYAMA(Minato-ku, Tokyo)
COMFORIA KOISHIKAWA(Bunkyo-ku, Tokyo)
Other properties, etc.

PurposeSubdivision work
Large-scale repair work
Large-scale repair work
Large-scale repair work
Large-scale repair work
Large-scale repair work
Large-scale repair work
Replacement of air conditioners, etc.

Total

PeriodFrom Aug. 2018
to Jun. 2019
From Feb. 2019
to Jun. 2019
From Feb. 2019
to Jul. 2019
From Feb. 2019
to Jun. 2019
From Feb. 2019
to Jun. 2019
From Feb. 2019
to Jul. 2019
From Feb. 2019
to Jul. 2019
From Feb. 2019
to Jul. 2019

Construction cost(thousands of yen)
141,478
59,64453,08549,79538,70038,00832,242
96,960509,917- 19 -

38- 18 -

39

Status of Expenses and Liabilities
Status of Expenses and Liabilities
1. Statement of Expenses Related to Investments

3. Funding Reserved for Long-Term Repair Plans
From the cash flows during the fiscal period, the Investment Corporation sets aside reserves for repairs, which are to beappropriated for repairs in the medium to long term.
(Thousands of yen)
Fiscal period
Balance of reserves at the
beginning of period
Amount of reserves
during period
Reversal of reserves
during period
Amount carried forward
to next period

14th Fiscal Period

15th Fiscal Period

16th Fiscal Period

17th Fiscal Period

18th Fiscal Period

From Feb. 1, 2017
to Jul. 31, 2017

From Aug. 1, 2017
to Jan. 31, 2018

From Feb. 1, 2018
to Jul. 31, 2018

From Aug. 1, 2018
to Jan. 31, 2019

From Feb. 1, 2019
to Jul. 31, 2019377,947

349,367

328,884

357,243

396,925

311,155

523,929508,774

477,118

624,729

339,736

544,411

480,415

437,436

623,170

349,367

328,884

357,243

396,925

398,483

Item(Thousands of yen)

17th Fiscal Period
From Aug. 1, 2018 to Jan. 31, 2019

Asset management fee (Note)

18th Fiscal Period
From Feb. 1, 2019 to Jul. 31, 2019464,589

479,542

Asset custody fee

7,679

7,800

Administrative service fees

25,96927,302

Directors’ compensation
Other expenses
Total

3,600

3,600

236,375

226,567

738,214744,813(Note) In addition to the amount stated above, asset management fees came to ¥20,750 thousand and ¥115,450 thousand in the 17th Fiscal Period and 18th
Fiscal Period, respectively, related to the acquisition of property were incorporated in the book value of each property and asset management fees cameto ¥5,400 thousand and ¥12,000 thousand in the 17th Fiscal Period and 18th Fiscal Period, respectively, related to the sale of property were incurred．

2. Loan Status
The status of loans as of July 31, 2019 is as follows.

Type

LenderBalance at theBalance at the

Drawdown beginning of
datecurrent period

end of current
period(millions of yen) (millions of yen)Mizuho Bank, Ltd.

3,570

-

3,570

-

3,570

-

1,785

-

1,350

1,350

MUFG Bank, Ltd.

2,000

2,000

Development Bank of Japan Inc.

1,000

1,000

1,000

1,000

1,000

1,000

Sumitomo Mitsui Trust Bank, Limited
MUFG Bank, Ltd.

Mar. 23,
2011

Sumitomo Mitsui Banking Corporation
Development Bank of Japan Inc.

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Sep. 30,
2013

Feb. 4,2014

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Long-term loans (Note 1)

Sumitomo Mitsui Trust Bank, Limited

Jun. 30,
2014

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Jun. 30,
2014

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Feb. 3,2015

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Feb. 3,2015

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited
Sumitomo Mitsui Banking Corporation

Feb. 3,
2015

500

500

1,340

1,340

670

670

670

670

670

670

350

350

1,820

1,820

910

910

910

910

910

910

450

450

1,200

1,200

600

600

600

600

600

600

300

300

1,240

1,240

620

620

620

620

620

620

310

310

1,240

1,240

620

620

620

620

620

620

310

310

Averageinterest Maturity Repayment Use of
rate (%)
date
methodfunds

Remarks(Note 2)0.56091

Mar. 23,2019

UnsecuredLump-sum(Note 3)
Unguaranteed
repayment

0.90487

Sep. 30,
2019

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

0.88240

Jan. 31,2021

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

0.60150

Jun. 30,
2020

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

0.90100

Jun. 30,2022

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

0.69250

Jan. 31,2022

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

0.79875

Jan. 31,2023

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

1.04200

Jan. 31,2025

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed- 21 -

40- 20 -

41

LenderDrawdown beginning ofcurrent perioddate

Balance at theend of current
period

1,140

1,140

570

570

570

570

570

570

300

300

100

-

1,040

1,040

520

520

520

520
520

(millions of yen) (millions of yen)

MUFG Bank, Ltd.

720

360

360

Mizuho Bank, Ltd.

360

360

360

360

Sumitomo Mitsui Banking Corporation

200

200

MUFG Bank, Ltd.

840

840

420

420

420

420

420

420

Sumitomo Mitsui Banking Corporation

230

230

Sumitomo Mitsui Trust Bank, Limited520

MUFG Bank, Ltd.

980

980

Development Bank of Japan Inc.

490

490

Sumitomo Mitsui Banking Corporation

260

260

490

490

1,300

1,300

490

490

1,300

1,300

1,300

1,300

Mizuho Trust & Banking, Co., Ltd.

1,000

1,000

MUFG Bank, Ltd.

2,700

2,700

1,350

1,350

600

600

500

500

500

500

1,000

1,000

Mizuho Bank, Ltd.

700-

Sumitomo Mitsui Trust Bank, Limited

700

-

350

-

Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

720
Feb. 2,
2016

Feb. 2,
2016

Feb. 2,
2016

Sumitomo Mitsui Banking Corporation
Development Bank of Japan Inc.
MUFG Bank, Ltd.
Kiraboshi Bank, Ltd.

Mar. 23,
2016

Sumitomo Mitsui Trust Bank, Limited
Development Bank of Japan Inc.
MUFG Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Mar. 23,2016

MUFG Bank, Ltd.
Long-term loans (Note 1)

Remarks

LenderDevelopment Bank of Japan Inc.

MUFG Bank, Ltd.

Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Aug. 1,
2016

Sumitomo Mitsui Banking Corporation

220

220

1,570

1,570

1,570

1,570

1,000

1,000

785

785

2,000

2,000

2,000

2,000

1,000

1,000

1,160

1,160

580

580

580

580

580

580

290

290

1,800

1,800

900

900

900

900

900

900

450

450

Mizuho Trust & Banking, Co., Ltd.

2,000

The Norinchukin Bank

1,500
1,000

1,000

500

500

MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Aug. 1,
2016

Sumitomo Mitsui Banking Corporation

The Bank of Fukuoka, Ltd.
The 77 Bank, Ltd.

Jan. 31,2017

The Daishi Bank, Ltd.
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Feb. 2,
2017

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Feb. 2,
2017

Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited
Sumitomo Mitsui Banking Corporation

42

Balance at theType

Sep. 29,2017

0.58430

Mar. 31,2023

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

Sumitomo Mitsui Banking Corporation
Sumitomo Mitsui Trust Bank, Limited

0.62460

0.67745Development Bank of Japan Inc.
Mizuho Bank, Ltd.

0.27125

UnsecuredLump-sum(Note 3)
Unguaranteed
repayment

The Norinchukin Bank

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

Mizuho Bank, Ltd.

Mar. 30,
2018

Mar. 30,
2018

Sumitomo Mitsui Banking Corporation
0.61950

0.46655

Mar. 31,2025

Jul. 31,2024

Nippon Life Insurance Company

UnsecuredLump-sum(Note 3)
Unguaranteed
repayment

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

Taiyo Life Insurance Company
Resona Bank, Ltd.

MUFG Bank, Ltd.

Aug. 31,2018
Aug. 31,2018
Sep. 25,
2018

Sumitomo Mitsui Banking Corporation

350-

Mizuho Bank, Ltd.

550

550

550

550

550

550

MUFG Bank, Ltd.

275

275

2,000

Sumitomo Mitsui Banking Corporation

275

275

1,500

MUFG Bank, Ltd.

550

550

Mizuho Bank, Ltd.

550

550

550

550

Development Bank of Japan Inc.

550

550

Sumitomo Mitsui Banking Corporation

300

300

MUFG Bank, Ltd.

670

670

670

670

670

670

320

320

670

670

-

700

-

700

-

350

-

350

-

700

500

500

1,160

1,160

580

580

580

580

580

580

0.65518

0.466910.62938

Jul. 31,2026

Jan. 31,2022

Jan. 31,2024

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

UnsecuredLump-sum(Note 3)
Unguaranteed
repayment

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

Sumitomo Mitsui Trust Bank, Limited
Development Bank of Japan Inc.

Sumitomo Mitsui Trust Bank, Limited

Mizuho Bank, Ltd.

290

290

Sumitomo Mitsui Trust Bank, Limited

1,820

1,820

Sumitomo Mitsui Banking Corporation

910

910

910

910

910

910

450

450

1,140

1,140

570

570

570

570

570

570

300

300

- 22 -

Feb. 2,
2018

Shinkin Central Bank
The Bank of Fukuoka, Ltd.

Mar. 31,2021

Feb. 2,
2018

MUFG Bank, Ltd.

Aug. 31, Lump-sum
Unsecured(Note 3)2023
repayment
Unguaranteed

Feb. 29,
2024

Sep. 29,2017

Sumitomo Mitsui Trust Bank, Limited

Long-term loans (Note 1)

Type

Balance at the Balance at the
Average
beginning of end of current
Drawdowninterest Maturity Repayment Use ofcurrent period
perioddate
rate (%)
date
methodfunds(millions of (millions of(Note 2)yen)
yen)

0.79571Jan. 30,2026

Lump-sum
Unsecured(Note 3)
repayment
Unguaranteed

Development Bank of Japan Inc.

MUFG Bank, Ltd.
Sep. 30,
2022

UnsecuredLump-sum(Note 3)
Unguaranteed
repayment

Jan. 31,2019

Jan. 31,2019
Jan. 31,2019

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

0.49054

Sep. 25,
2018

Sumitomo Mitsui Banking Corporation
Development Bank of Japan Inc.

Apr. 5,2019
Apr. 5,2019- 23 -

Averageinterest Maturity Repayment Use ofdatemethodfunds
rate (%)

Remarks(Note 2)0.77571

Sep. 30,2026

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.26091

Feb. 28,
2019

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.65428

Jan. 31,2025

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.45804

Mar. 31,2023

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.62188

Mar. 31,2025

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.55126

Jan. 31,2024

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.73497

Aug. 31, Lump-sum
Unsecured2026
repayment (Note 3) Unguaranteed

0.26091

Oct. 31,2019

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.85667

Mar. 31,2027

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.43105

Jul. 31,2023

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.39950

Jan. 31,2025

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.49994

Jan. 31,2025

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.54500

Sep. 30,2026

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.57826

Sep. 30,2026

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed(Note 4)

43

Type

Balance at the
beginning ofcurrent period(millions ofyen)

Balance at theend of current
period(millions of
yen)

-

800

-

800

-

800

Sumitomo Mitsui Banking Corporation-

MUFG Bank, Ltd.

LenderDrawdown
date

MUFG Bank, Ltd.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited

Mizuho Bank, Ltd.

Long-term (Note)

Sumitomo Mitsui Trust Bank, Limited

44

1,000

0.23000

Jul. 15, 2022

Lump-sum
repayment(Note 2)

Unsecured

-

800
800

2,000

2,000

0.52000

Jul. 16, 2027

Lump-sum
repayment(Note 2)-

3rd Unsecured Bond Jul. 18, 2017

Unsecured-800

4th Unsecured Bond

Jun. 14, 2018

1,000

1,000

0.23000 Dec. 14, 2023

Lump-sum
repayment(Note 2)

Unsecured

5th Unsecured Bond

Jun. 14, 2018

1,500

1,500

0.95000

Jun. 14, 2033

Lump-sum
repayment(Note 2)

Unsecured(Note 2)

Unsecured(Note 2)

Unsecured

1,000
500

MUFG Bank, Ltd.

-

970

-

970

-

970

Sumitomo Mitsui Banking Corporation-

485

Mizuho Trust & Banking, Co., Ltd.

-

525

-

525

-

525

-

525

-

2,300

107,530

112,530

Total

Mar. 20,
2019

Security

1,000-

Mizuho Trust & Banking, Co., Ltd.

Use offunds

2nd Unsecured Bond Jul. 18, 2017-

Shinkin Central Bank

Repayment
method400

Sumitomo Mitsui Banking Corporation

Mar. 20,2019

Maturity
date

Unsecured

1,000

The Bank of Fukuoka, Ltd.

Balance at theBalance at the end
Coupon rate
beginning of currentof current period(%)
period (millions of yen) (millions of yen)

(Note 2)-The Norinchukin Bank

Issue dateLump-sum
repayment

400

Mar. 25,
2019

Issue

Jul. 30, 2021

1,000

Sumitomo Mitsui Trust Bank, Limited

The status of investment corporation bonds as of July 31, 2019 is as follows.

0.64000

Mar. 25,
2019

Remarks

3,000-

Mizuho Bank, Ltd.

Use of
funds

3,000

MUFG Bank, Ltd.

Sumitomo Mitsui Trust Bank, Limited(Note 3)(Note 4)Mar. 25,
2019

3. Investment Corporation Bonds
Repayment
method

1st Unsecured Bond Jul. 30, 2014

Sumitomo Mitsui Banking Corporation

Mizuho Bank, Ltd.

(Note 1)
(Note 2)Mar. 25,
2019

Averageinterest rate Maturity(%)
date(Note 2)0.19776

Sep. 30,
2020

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed(Note 1)
(Note 1)

0.24276

Mar. 31,2022

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed(Note 1)
(Note 1)
(Note 1)0.45215

Sep. 30,2025

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

6th Unsecured Bond

Jul. 18, 2019

-

1,000

0.23000

Jul. 18, 2024

Lump-sum
repayment

7th Unsecured Bond

Jul. 18, 2019

-

1,500

0.90000

Jul. 18, 2034

Lump-sum
repayment

8,500

11,000(Note 1)
(Note 1)

Total
0.60810

Sep. 30,2027

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed(Note 1)
(Note 2)The bonds are subject to the pari passu clause among specified investment corporation bonds.
The funds are appropriated to the acquisition of real estate in trust and the repayment of some of the existing borrowings.

4. Short-Term Investment Corporation Bonds
Not applicable

0.42850

Mar. 31,2026

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

0.26228

Mar. 31,2020

Lump-sum
Unsecured
repayment (Note 3) Unguaranteed

5. Investment Unit Acquisition Rights
Not applicable

Long-term loans include the current portion of long-term loans payable.
Average interest rates consist of the borrowing rates for each loan agreement rounded to the fifth decimal place. Furthermore, the stated rate for loans
for which interest-rate swap transactions were carried out to avoid interest rate risk takes into account the effect of the interest-rate swap.
The use of funds includes purchasing properties in trust and the repayment of existing borrowings.
The amount was repaid in full ahead of schedule on March 20, 2019.

- 24 -- 25 -

45

Purchase and Sale during the Period
Purchase and Sale during the Period
1. Purchase and Sale of Properties and Asset Backed Securities
Property nameAcquisition

3. Appraisals of Specified Assets(1) Real estate, etc.

Sale

Acquisitiondate

Acquisition price(millions of yen)

COMFORIA
KINSHICHO DEUX

Feb. 1, 2019

2,213

－

－

－

－

COMFORIA KAMEIDO
SOUTH

Feb. 1, 2019

2,050

－

－

－

－

Acquisition

COMFORIA SHIBUYA
WEST

Feb. 1, 2019

5,397

－

－

－

－

Acquisition

COMFORIA
Mar. 20, 2019HIGASHINIHONBASHI

1,194

－

－

－

－

COMFORIA
Mar. 20, 2019
ASAKUSAKOMAGATA

1,254

－

－

－

－

Sale date

Sale priceBook value
Gain on sale(millions of yen) (millions of yen) (millions of yen)

Acquisitionor saleAcquisition
Acquisition

COMFORIAOMORIKASHIMA

Mar. 20, 2019

864

－

－

－

－

COMFORIAOMORIMACHI

Mar. 20, 2019

1,096

－

－

－

－

COMFORIA
KAMIIKEDAIMar. 20, 2019

1,842

－

－

－

－

Acquisition

COMFORIA TAMAPLAZA

Mar. 20, 2019

2,220

－

－

－

－

Acquisition

CAMPUS VILLAGESHIINAMACHI

Apr. 5, 2019

2,740

－

－

－

－

－

－

Jul. 5, 2019

1,200

1,017

168

－

20,870

－

1,200

1,017

168

COMFORIA
KITAHORIE
Total(Note) The acquisition price and sale price do not include miscellaneous expenses required for the acquisition or sale of said property, fixed property tax, city
planning tax, consumption tax and local consumption tax.

2. Purchase and Sale of Other Assets
Main assets other than the above properties and asset backed securities are bank deposits or bank deposits within trust assets.

Acquisition

Acquisition
Acquisition
Acquisition
Sale

Type of asset
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Beneficial
interest in realestate trust
Real estate

Real estate appraisal
Acquisition priceor sale priceAppraisal value Appraisal
Date of(millions of yen)(millions ofcompany
valuation(Note 1)
(Note 3)yen) (Note 2)

Property nameAcquisition orsale date

COMFORIA
KINSHICHO DEUX

Feb. 1, 2019

2,213

2,230

(3)

Oct. 31, 2018

COMFORIA KAMEIDO
SOUTH

Feb. 1, 2019

2,050

2,090

(2)

Oct. 31, 2018

COMFORIA SHIBUYA
WEST

Feb. 1, 2019

5,397

5,610

(1)

Oct. 31, 2018

COMFORIAHIGASHINIHONBASHI

Mar. 20, 2019

1,194

1,220

(1)

Oct. 31, 2018

COMFORIAASAKUSAKOMAGATA

Mar. 20, 2019

1,254

1,280

(1)

Oct. 31, 2018

COMFORIAOMORIKASHIMA

Mar. 20, 2019

864

872

(1)

Oct. 31, 2018

COMFORIAOMORIMACHI

Mar. 20, 2019

1,096

1,110

(1)

Oct. 31, 2018

COMFORIA
KAMIIKEDAIMar. 20, 2019

1,842

1,920

(1)

Oct. 31, 2018

COMFORIA TAMAPLAZA

Mar. 20, 2019

2,220

2,230

(4)

Jan. 31, 2019

CAMPUS VILLAGESHIINAMACHI

Apr. 5, 2019

2,740

2,750

(1)

Oct. 31, 2018

COMFORIA KITAHORIE

Jul. 5, 2019

1,200

1,050

(4)

Jan. 31, 2019

(Note 1) The acquisition price and sale price do not include miscellaneous expenses required for the acquisition or sale of said property, fixed property
tax, city planning tax, consumption tax and local consumption tax.
(Note 2) Appraisal value indicates appraisal value or investigated value.
(Note 3) The real estate appraisers handling the real estate appraisal or research reports of each property are: (1) Japan Real Estate Institute, (2) JLL
Morii Valuation & Advisory K.K., (3) The Tanizawa Sōgō Appraisal Co., Ltd. and (4) Daiwa Real Estate Appraisal Co., Ltd.

(2) Other
Of the transactions carried out by the Investment Corporation that were deemed to require a research on prices, etc. pursuant
to the provisions of Article 201 of the Investment Trusts Act, except for those shown in the aforementioned “(1) Real estate,etc.”, the research was entrusted to Tokyo Kyodo Accounting Office. Between February 1, 2019 and July 31, 2019, there werefour interest rate swap transactions that were subject to the research. The Investment Corporation received a research report
regarding the counterparty’s name, currency type, agreed-upon interest rate, transaction period and other details of the relevant
swap transactions.

- 26 -

46- 27 -

47

Accounting Status
Accounting Status
1. Assets, Liabilities, Principal and Profit/Loss

4. Transactions with Related Parties(1) Information on transaction

Please referStatus
to “1. Balance Sheets,” “2. Statements of Income,” “3. Statements of Changes in Unitholders’ Equity,” “4. Statements
Accountingof Cash Distributions,” “5. Statements of Cash Flows,” and “6. Notes.”

Purchase and sales amount

Category

Purchase amount

Total amount 

1. Assets, Liabilities, Principal and Profit/Loss
2. Changes in the Calculation Method of Depreciation

Sales amount¥ 20,870,000 thousand

Please refer to “1. Balance Sheets,” “2. Statements of Income,” “3. Statements of Changes in Unitholders’ Equity,” “4. Statements
Notapplicableof CashDistributions,” “5. Statements of Cash Flows,” and “6. Notes.”¥ 1,200,000 thousand

  

3.
Changes inin thethe Appraisal
Methodofof
RealEstate, etc.
2. Changes
Calculation
MethodDepreciation

Breakdown of transactions between related parties
Tokyu Land Corporation¥12,400,000 thousand (59.4%)¥－ thousand (－%)

Godo Kaisha Residence 5¥6,250,000 thousand (29.9%)¥－ thousand (－%)

¥18,650,000 thousand (89.4%)¥－ thousand (－%)

Total

(Note) The term “Related parties” refers to related parties defined in Article 123 of the Order for Enforcement of the Act on Investment Trusts and Investment
Corporations as well as related parties of the Asset Management Company prescribed in Article 26, Paragraph 1, Item 27 of the Regulations
Concerning Investment Reports of Investment Trusts and Investment Corporations issued by the Investment Trusts Association, Japan. Descriptions
are included with regard to related parties that fall under any of these and that had transactions or paid commissions, etc. during the 18th Fiscal Period.
(The same shall apply in “(2) Amount of commission paid” and “(3) Major payments to other related parties” below.)

Category

Breakdown of transaction with related parties
Payee
Tokyu Housing Lease Corporation

3. Changes in the Appraisal Method of Real Estate, etc.

Other

Not applicable

Other

1. Beneficiary Certificates of Investment Trusts Established by the Investment Corporation
Not applicable
Other

2.
1. Notices
Beneficiary Certificates of Investment Trusts Established by the Investment Corporation(1) Not
Unitholders’Meeting
applicableNot applicable(2) Amount of commission paid
Total amount ofcommission paid(A)
(thousands of yen)

Not
Not applicableapplicable

Amount of payment(B)(thousands of yen)

Percentage of total
amount (B/A)(%)

Property management
entrustment costs

452,41665.5

690,840 Community One Co., Ltd.

35,252

5.1

Tokyu Community Corp.

4,418

0.6

Utilities expenses

113,756 Tokyu Community Corp.

55,92049.2

Marketing-related
expenses

165,559 Tokyu Livable, Inc.

782

0.5

Other expenses related
to rent business

171,598

Tokyu Sports Oasis, Inc.

10,849

6.3

Community One Co., Ltd.

918

0.5

Warehousing fees (Note)

203,612 Godo Kaisha Residence 5

203,612100.0(Note) "Warehousing fees" represent the amount exclusive of the acquisition price, such as due diligence expenses and brokerage fees, agreed on anddetermined with Godo Kaisha Residence 5 upon acquiring the relevant properties.

(3) Major payments to other related parties
Tokyu Redesign Corporation¥54,740 thousand (repair work, etc.)
Community One Co., Ltd.
¥2,095 thousand (repair work, etc.)
Ewel Inc.
¥1,123 thousand (system usage, etc.)
Tokyu Community Corp.
¥688 thousand (repair work, etc.)

5. Transactions with Asset Management Company related to Concurrent Operations Carried Out by the AssetManagement Company
The Asset Management Company is not concurrently engaged in type I financial instruments business, type II financial instruments
business, realty business or specified real estate cooperative business.

2. Notices(2) Board of Directors of the Investment Corporation(1) TheUnitholders’Meetingof the major conclusion and change of contracts that were approved by the Board of Directors of the Investment
main overviews
Corporation
during current period are as follows.
Not applicable
Approval date
MatterOverview(2) Board of Directors of the Investment CorporationA
comprehensive
resolution
forissuanceof investment
The main overviews of the major conclusion and change of contracts that were approved by thethe
Boardof Directorsof the Investment
corporation
bonds
with
an
aggregate
maximum
amount of issuance ofCorporation during current period are as follows.
Comprehensive resolution for¥25 billion and a period of issuance from May 9, 2019 to May 8, 2020
Approval date issuance of investment
Matter corporation
Overview duties concerned in
was resolved. To entrust the administrative
April 25, 2019bonds and entrustment of generaloffering
investment
corporationbonds
and generaladministrative
A comprehensive
resolution
for theissuanceof investment
administrative duties
duties, including
andpaying agent,a candidate
corporation
bondsissuing,
with anfinancial
aggregate
maximum
amountof issuance ofcompany
other necessary
matters
to bedecided¥25
billionwas
andapproved
a period andof issuancefrom May9, 2019
to May8, 2020
Comprehensive resolution for
wereleft to theTodiscretionof administrative
the Executive Director.
was resolved.
entrust theduties concerned in
issuance of investment corporation
April 25, 2019
offering investment corporation bonds and general administrative
bonds and entrustment of general
duties, including issuing, financial and paying agent, a candidate
administrative
duties
3. Disclosure on Overseas
Property-Owning
Corporations
company was approved and other necessary matters to be decided
Not applicable
were left to the discretion of the Executive Director.

4.
on RealEstateOwned by Overseas
Property-Owning Corporations
3. Disclosure
Disclosure on
Overseas
Property-Owning
Corporations
Not
Not applicableapplicable

5.
4. OtherDisclosure on Real Estate Owned by Overseas Property-Owning Corporations

Figuresin this document are rounded down (values) and rounded to the nearest decimal place (percentages) unless
Not applicable
otherwise indicated.

5. Other
Figures in this document are rounded down (values) and rounded to the nearest decimal place (percentages) unlessotherwise indicated.

- 29 -

48- 28 -

49

III. Financial Section
III. Financial Section
1. Balance Sheets(Thousands of yen)
17th Fiscal Period(As of January 31, 2019)
AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Prepaid expenses
Other
Total current assets
Non-current assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress in trust
Total property, plant and equipment
Intangible assets
Leasehold rights in trust
Other
Total intangible assets
Investments and other assets
Lease and guarantee deposits
Long-term prepaid expenses
Total investments and other assets
Total non-current assets
Deferred assets
Investment unit issuance expenses
Investment corporation bond issuance costs
Total deferred assets
Total assets(Thousands of yen)

18th Fiscal Period(As of July 31, 2019)

7,981,322
7,025,009
6,860
365,221–
15,378,413

9,806,155
7,794,604
10,233
424,435
3,007
18,038,436

2,547,500(168,808)
2,378,692
28,301(4,897)
23,404
17,687(1,462)
16,225
3,062
(889)
2,172
4,674,303
93,883,874(10,571,985)
83,311,888
1,196,527(315,059)
881,467
1,557,003(275,871)
1,281,132
340,254(112,950)
227,303111,993,547
7,277
204,797,414

1,874,351(106,596)
1,767,754
22,374(3,913)
18,46017,687(1,736)
15,951
3,062(1,154)
1,907
4,243,040
99,589,884(11,731,213)
87,858,670
1,262,516(346,567)
915,949
1,628,309(304,645)
1,323,664
385,914(142,123)
243,791
128,350,042–
224,739,233

1,174,875
17,667
1,192,543

1,166,310
14,118
1,180,428

1,525,188854,894
2,380,082
208,370,041

1,525,188902,365
2,427,553
228,347,215

36,07745,311
81,388
223,829,843

50,34962,308112,657
246,498,308

17th Fiscal Period(As of January 31, 2019)
Liabilities
Current liabilities
Operating accounts payable
Current portion of long-term loans payable
Accounts payable - otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Advances received
Other
Total current liabilities
Non-current liabilities
Investment corporation bonds
Long-term loans payable
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Voluntary retained earnings
Reserve for reduction entry
Total voluntary retained earnings
Unappropriated retained earnings(undisposed loss)
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

18th Fiscal Period(As of July 31, 2019)599,318
16,045,000
45,882
159,605
5,646
11,521
1,270,582–
18,137,557

791,399
7,350,000
56,748
176,993
5,954
184
1,359,964
521
9,741,767

8,500,000
91,485,000
33,9002,282,280
96,972
4,237
102,402,390
120,539,947

11,000,000
105,180,000
28,5952,517,824
97,576
3,898
118,827,895
128,569,663

99,814,378

114,045,421

302,807
302,807434,888434,888

3,172,709

3,448,336

3,475,517
103,289,895*1 103,289,895
223,829,843

3,883,224
117,928,645*1 117,928,645
246,498,308- 28 -

50

51- 29 -

2. Statements of Income

3. Statements of Changes in Unitholders’ Equity(Thousands of yen)
17th Fiscal Period(From August 1, 2018
to January 31, 2019)

Operating revenue
Lease business revenue
Other lease business revenue
Gain on sales of real estate properties
Total operating revenue
Operating expenses
Expenses related to rent business
Asset management fee
Directors' compensations
Audit fee
Asset custody fee
Administrative service fees
Other operating expenses
Total operating expenses
Operating profit
Non-operating income
Interest income
Gain on forfeiture of unclaimed dividends
Total non-operating income
Non-operating expenses
Interest expenses
Borrowing related expenses
Interest expenses on investment corporation bonds
Amortization of investment corporation bondissuance costs
Amortization of investment unit issuance expenses
Total non-operating expenses
Ordinary profit
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitRetained earnings brought forward
Unappropriated retained earnings (undisposed loss)

17th Fiscal Period (From August 1, 2018 to January 31, 2019)18th Fiscal Period(From February 1, 2019
to July 31, 2019)*1 7,594,821*1
274,666*2
259,090
8,128,578*1 8,140,239*1
344,123*2
168,200
8,652,563*1 3,687,607
464,589
3,600
13,842
7,679
25,969222,533
4,425,821
3,702,757*1 3,928,753
479,5423,600
13,8427,800
27,302
212,725
4,673,567
3,978,996

65
860
925

71
688
759

342,563
140,735
24,290338,753
142,133
24,704

4,169

4,377

13,589525,349
3,178,333
3,178,333
5,656
(32)
5,624
3,172,709–
3,172,709

15,823525,793
3,453,962
3,453,962
5,965
(339)
5,626
3,448,336–
3,448,336

Surplus
Unappropriatedretainedearnings(undisposed
loss)

Total
unitholders'equityTotal net assets

Total surplus

37,277

3,191,695

3,228,972

103,043,351

103,043,351

285,330

285,330(285,330)–––(19,800)(19,800)

19,800–––

Dividends of surplus(2,926,165)(2,926,165)(2,926,165)(2,926,165)

Profit3,172,709

3,172,709

3,172,709

3,172,709

Reserveforreduction
entry

Total
voluntary
retainedearnings

37,277

Reserve for
reduction entry
Reversal of reserve
for reduction entry

Balance at beginningof current period

99,814,378

Changes of items
during period

Total changes of items
during period
Balance at end ofcurrent period*1–

265,530

265,530(18,986)

246,544

246,544

246,544

99,814,378

302,807

302,8073,172,709

3,475,517

103,289,895

103,289,895

18th Fiscal Period (From February 1, 2019 to July 31, 2019)(Thousands of yen)

Unitholders' equity
Surplus
Unitholders'
capitalBalance at beginningof current period

99,814,378

Voluntary retained
earnings
Reserveforreduction
entry

Total
voluntary
retainedearnings

302,807

302,807

Unappropriatedretainedearnings(undisposed
loss)
3,172,709

Total net assets

Total surplus

Totalunitholders'equity3,475,517

103,289,895

103,289,895

14,231,042

14,231,042

Changes of items
during period
Issuance of new
investment units

14,231,042

Reserve for
reduction entry

149,557

149,557(149,557)–––

Reversal of reserve
for reduction entry(17,477)(17,477)

17,477–––

Dividends of surplus(3,040,628)(3,040,628)(3,040,628)(3,040,628)

Profit3,448,336

3,448,336

3,448,336

3,448,336

Balance at end ofcurrent period- 30 -

Voluntary retained
earnings

Unitholders'
capital

Total changes of items
during period

52(Thousands of yen)
Unitholders' equity*1

14,231,042

132,080132,080

275,626

407,707

14,638,749

14,638,749

114,045,421

434,888434,888

3,448,336

3,883,224

117,928,645

117,928,645- 31 -

53

5. Statements of Cash Flows

4. Statements of Cash Distributions
Category

I. Unappropriated retained earnings
II. Reversal of Voluntary retained
earnings
Reversal of reserve for reduction
entryIII. Distributions

17th Fiscal Period(From August 1, 2018
to January 31, 2019)18th Fiscal Period(From February 1, 2019
to July 31, 2019)¥3,172,709,313¥3,448,336,187¥17,477,446¥20,640,632¥3,040,628,920¥3,319,520,120[¥5,180][¥5,180]¥149,557,839¥149,456,699[Distribution per unit]
IV. Voluntary retained earnings
Provision of reserve for reduction
entry
V. Retained earnings carried forward
Method for calculating distributions

54¥0
The Investment Corporation will makecash distributions up to the amount ofaccounting profit based on the
distribution policy outlined in Article
35-1 of the Investment Corporation’s
Articles of Incorporation, in an amountthat exceeds 90% of the “amount of
distributable profit” of the Investment
Corporation as set forth in Article 67-15
of the Act on Special Measures
Concerning Taxation.
Based on this policy, the Investment
Corporation has determined to pay out¥3,040,628,920 as the total amount ofdividends for the period under review,which is equivalent to the entire amountof unappropriated retained earnings after
adding reversal of reserve for reduction
entry and deducting the provision ofreserve for reduction entry pursuant to
Article 66-2 of the Act on Special
Measures Concerning Taxation.
Furthermore,theInvestment
Corporation does not pay out dividends
that exceed accounting profit as outlined
in Article 35-2 of the Investment
Corporation’s Articles of Incorporation.

- 32 -¥0
The Investment Corporation will makecash distributions up to the amount ofaccounting profit based on the
distribution policy outlined in Article
35-1 of the Investment Corporation’s
Articles of Incorporation, in an amountthat exceeds 90% of the “amount of
distributable profit” of the Investment
Corporation as set forth in Article 67-15
of the Act on Special Measures
Concerning Taxation.
Based on this policy, the Investment
Corporation has determined to pay out¥3,319,520,120 as the total amount ofdividends for the period under review,which is equivalent to the entire amountof unappropriated retained earnings after
adding reversal of reserve for reduction
entry and deducting the provision ofreserve for reduction entry pursuant to
Article 66-2 of the Act on Special
Measures Concerning Taxation.
Furthermore,theInvestment
Corporation does not pay out dividends
that exceed accounting profit as outlined
in Article 35-2 of the Investment
Corporation’s Articles of Incorporation.

(Thousands of yen)
17th Fiscal Period(From August 1, 2018
to January 31, 2019)

Cash flows from operating activities
Profit before income taxes
Depreciation
Borrowing related expenses
Amortization of investment corporation bond issuance costs
Amortization of investment unit issuance expenses
Interest income
Gain on forfeiture of unclaimed dividends
Interest expenses
Decrease (increase) in operating accounts receivable
Decrease (increase) in prepaid expenses
Increase (decrease) in accrued consumption taxes
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable - other
Increase (decrease) in accrued expenses
Increase (decrease) in advances received
Decrease (increase) in long-term prepaid expenses
Decrease in property, plant and equipment due to sales
Decrease in property, plant and equipment in trust due to sales
Other, net
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Purchase of intangible assets
Proceeds from tenant leasehold and security deposits
Repayments of tenant leasehold and security deposits
Proceeds from tenant leasehold and security deposits in trust
Repayments of tenant leasehold and security deposits in trust
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from issuance of investment corporation bonds
Payments for investment corporation bond issuance costs
Proceeds from issuance of investment units
Dividends paid
Other, net
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 33 -

18th Fiscal Period(From February 1, 2019
to July 31, 2019)

3,178,333
1,226,501
140,735
4,169
13,589(65)(860)
366,853(563)
24,094(541)(69,386)
2,114
5,077
29,1784,429–
255,458
(2,058)5,177,061
65(366,788)(8,751)4,801,588

3,453,962
1,291,815
142,133
4,377
15,823(71)(688)
363,458(3,373)(32,276)(11,337)
124,501
16,991
13,68689,382
5,785
1,017,869–(2,485)
6,489,556
71(362,978)(5,657)
6,120,991(12,426)(4,606,483)(9,743)
4,746(3,310)311,187(197,322)(4,513,351)(167)(22,182,459)–
7,073(11,918)
463,219(211,438)(21,935,690)

11,664,923(7,500,000)
–
(749)
–
(2,925,030)(9,069)1,230,074
1,518,310
13,488,021*1 15,006,331

21,985,917(17,195,000)
2,479,375–
14,190,707(3,041,285)(10,588)
18,409,126
2,594,428
15,006,331*1 17,600,75955

6. Notes

6.

<Summary of Significant Accounting Policies>
1.

Method of depreciation andamortization of non-current
assets(1) Property, plant and equipment (including trust assets)
Property, plant and equipment are depreciated using the straight-line method over theestimated useful lives as follows:
Buildings
Structures
Machinery and equipment
Tools, furniture and fixtures

Other significant accounting
policies applied in the
preparation of financial
statements

2–70 years
2–69 years
10–34 years
2–15 years(2) Accounting method for consumption taxes
Revenues and expenses in the Statements of Income do not include consumption
taxes. Non-deductible consumption taxes applicable to the acquisition of non-current
assets, etc. are included in the cost of acquisition for each asset.

(2) Intangible assets (including assets in trust)Intangible assets are amortized by the straight-line method.

2.

3.

4.

Accounting policies fordeferred assets

Accounting standards forrevenues and expenses

Method of hedge accounting(3) Long-term prepaid expenses
Long-term prepaid expenses are amortized by the straight-line method.
(1) Investment corporation bond issuance costs
Investment corporation bond issuance costs are amortized using the straight-line
method over the redemption periods.
(2) Investment unit issuance expenses
Investment unit issuance expenses are amortized in averaged amount on a monthly
basis using the straight-line method over three years.
Accounting treatment of property tax, city planning tax, and depreciable asset tax
For property tax, city planning tax, and depreciable asset tax (“property tax”) for realestate properties held, the amounts to be paid for the fiscal periods are calculated outof the tax amounts decided to be levied and are recorded as expenses related to rent
business.
Of the amounts paid for the acquisition of real estate property or beneficial interests inreal estate trust, the amounts equivalent to property tax settled with the seller of theproperty are capitalized as part of the acquisition cost of the relevant property rather
than being charged as expenses.
(1) Method of hedge accounting
The deferred hedge method is applied.
However, the special accounting treatment is applied for interest-rate swap
transactions that meet certain criteria.

(1) Accounting method for beneficial interests in real estate trust and other assets
Regarding trust beneficiary interests in real estate, all assets and liability accounts of
entrusted properties as well as revenue and expense accounts generated by theproperty in trust are recorded in relevant accounts on the Balance Sheets andStatements of Income.
Important line items included in accounting for financial assets and liabilities in theInvestment Corporation’s Balance Sheets are as follows:(i) Cash and deposits in trust(ii) Buildings in trust; structures in trust; machinery and equipment in trust; tools,
furniture and fixtures in trust; land in trust; construction in progress in trust; andleasehold rights in trust(iii) Tenant leasehold and security deposits in trust<Notes to the Balance Sheets>*1. Minimum net assets pursuant to Article 67-4 of the Act on Investment Trusts and Investment Corporations
17th Fiscal Period(As of January 31, 2019)50,0002.

(Thousands of yen)

18th Fiscal Period(As of July 31, 2019)50,000Commitment line agreement
The Investment Corporation has commitment line contracts with three of the banks (as of January 31, 2019) and three of thebanks (as of July 31, 2019), respectively.
(Thousands of yen)

Credit limit
Outstanding debt
Unused commitment line

17th Fiscal Period(As of January 31, 2019)10,500,000–
10,500,000

18th Fiscal Period(As of July 31, 2019)10,500,000–
10,500,000(2) Hedging instruments and hedged items
Hedging instruments: Interest rate swap transactions
Hedged items: Interest expenses on loans payable(3) Hedging policy
The Investment Corporation enters into derivative transactions based on its
investment management guidelines with the objective of hedging interest rate
fluctuation risks and other risks pertaining to borrowings, etc.

5.

56

Scope of funds (cash andcash equivalents) on theStatements of Cash Flows(4) Method of evaluating the effectiveness of hedging
As for the method of assessing the effectiveness of the hedge, the cumulative changes
in cash flow of the hedged items and hedging instruments are compared and a
judgment is made by verifying the ratio of the changed amount. However, anassessment of the effectiveness of hedging activities is omitted in the case ofinterest-rate swap transactions that meet the requirements for the special treatment.
The funds (cash and cash equivalents) on the Statements of Cash Flows consist of cash on
hand and cash in trust, deposits and deposits in trust that are readily available, andshort-term investments with maturities of three months or less from the date of purchasewhich are readily convertible to cash and with insignificant risk of market value
fluctuation.

- 34 -- 35 -

57

<Notes to the Statements of Income>*1. Breakdown of real estate rental revenues and expenses<Notes to the Statements of Changes in Unitholders’ Equity>(Thousands of yen)

A. Real estate rental revenue
Lease business revenue(Rental revenues and common service charges)(Parking revenues)
Other lease business revenue(Key money and contract renewal fees)(Other revenues)
Total real estate rental revenues
B. Real estate rental expenses
Expenses related to rent business(Property management fees and facility
management fees)(Repairs and maintenance)(Land rent)(Tax and public dues)(Insurance)(Utilities)(Marketing-related expenses)(Trust fees)(Depreciation)(Other expenses related to rent business)
Total real estate rental expenses
C. Income from real estate rental business(A - B)

17th Fiscal Period(From August 1, 2018
to January 31, 2019)18th Fiscal Period(From February 1, 2019
to July 31, 2019)

7,444,426
150,394

7,984,338
155,901

145,265
129,401

7,594,821
274,666
7,869,488

204,996
139,127

596,837

690,840

306,207706,671
380,884
6,155
115,084
146,504
45,612
1,223,402
160,246

333,441707,019
402,969
6,486
113,756
165,559
47,751
1,288,266
172,661

3,687,607
4,181,881

8,140,239
344,123
8,484,363(1) COMFORIA MINAMIAOYAMA DEUX
Revenue from sales of real estate properties
Cost of sales of real estate properties
Other sales expenses
Gain on sales of real estate properties

3,928,753(Thousands of yen)
255,458
25,451

280,909
259,090(Thousands of yen)
1,017,869
13,930Due within 1 year
Due after 1 year
Total

8,000,000 units

586,994 units

640,834 units

17th Fiscal Period(From August 1, 2018
to January 31, 2019)
7,981,322
7,025,009
15,006,331

1,200,000
1,031,799
168,200

17th Fiscal Period(As of January 31, 2019)
1,381,584
79,993,713
81,375,297

2. Operating lease transactions (Lessor)
Future minimum lease payments receivable under non-cancelable operating lease transactions

540,000

18th Fiscal Period (From February 1, 2019 to July 31, 2019)(1) COMFORIA KITAHORIE
Revenue from sales of real estate properties
Cost of sales of real estate properties
Other sales expenses
Gain on sales of real estate properties

8,000,000 units<Notes to lease transactions>
1. Operating lease transactions (Lessee)
Future minimum lease payments under non-cancelable operating lease transactions

4,555,609

18th Fiscal Period(From February 1, 2019
to July 31, 2019)<Notes to the Statements of Cash Flows>*1. Reconciliation of balance sheets items to cash and cash equivalents at end of period in the Statements of Cash Flows(Thousands of yen)

Cash and deposits
Cash and deposits in trust
Cash and cash equivalents*2. Breakdown of gain on sales of real estate properties
17th Fiscal Period (From August 1, 2018 to January 31, 2019)*1. Total number of authorized investment
units and total number of investment
units issued and outstanding
Total number of authorized investment units
Total number of investment units issued andoutstanding

17th Fiscal Period(From August 1, 2018
to January 31, 2019)

Due within 1 year
Due after 1 year
Total

17th Fiscal Period(As of January 31, 2019)
603,046
5,904,575
6,507,622

18th Fiscal Period(From February 1, 2019
to July 31, 2019)
9,806,155
7,794,604
17,600,759(Thousands of yen)
18th Fiscal Period(As of July 31, 2019)
1,382,628
79,362,847
80,745,475(Thousands of yen)
18th Fiscal Period(As of July 31, 2019)

777,463
6,046,182
6,823,646<Notes to financial instruments>
1. Status of financial instruments(1) Policies for financial instruments
With a focus on stability, flexibility and efficiency as the basis of its financial policy, the Investment Corporation procures
funds through borrowings as well as the issuance of investment corporation bonds (including short-term investment
corporation bonds; the same shall apply hereinafter) and investment units among other means with the aim of growing its
investment assets through their acquisition.
The Investment Corporation may enter into derivatives transactions, which shall be executed solely for the purpose ofhedging against interest-rate fluctuations and other risks pertaining to borrowings, etc.
(2) Characteristics and risk profile of each financial instrument and risk management system
The funds for borrowings and investment corporation bonds are mainly appropriated for the acquisition of investment assets
and repayment of borrowings, etc. With regard to liquidity and interest rate fluctuation risks associated with these financing
activities, the Investment Corporation endeavors to manage and limit them by considering and implementing multifaceted
funding methods including the utilization of surplus funds and raising funds, etc. from capital markets through issuance ofinvestment units, etc. while diversifying funding sources. Although loans with floating interest rates are exposed to a risk offluctuation in interest payable, the Investment Corporation employs derivative transactions (interest-rate swap transactions)as hedging instruments in order to avoid interest rate fluctuation risks and fix payment of interest expenses. For more detailed
information on the method of hedge accounting, hedging instruments, hedged items, hedging policy and the evaluation
method for hedge effectiveness, please refer to the previous section “6. Notes: Summary of significant accounting policies, 4.
Method of hedge accounting.”(3) Supplementary note regarding fair value of financial instruments
The fair values of financial instruments presented in this report is based on their market value, and in cases where market
value is not available, reasonably estimated values are presented. Since the estimation of fair value is based on certain
assumptions, fair value could differ depending on the assumptions used.

58- 36 -- 37 -

59

2.

Fair value of financial instruments
The carrying value of financial instruments on the balance sheet, their fair value and the differences between them as of January
31, 2019 are as follows.
(Thousands of yen)
Carrying value

Fair value(Note 1)

7,981,322

7,981,322―(2) Cash and deposits in trust

7,025,009

7,025,009―(3) Current portion of long-term loans payable(16,045,000)(16,050,104)5,104(4) Investment corporation bonds(8,500,000)(8,618,518)

118,518(5) Long-term loans payable(91,485,000)(92,393,251)

908,251―――

The carrying value of financial instruments on the balance sheet, their fair value and the differences between them as of July 31,
2019 are as follows.
(Thousands of yen)
Carrying value

Fair value(Note 1)

(1) Cash and deposits

Difference(Note 1)9,806,155

9,806,155
7,794,604―(3) Current portion of long-term loans payable(7,350,000)(7,362,645)

12,645(4) Investment corporation bonds(11,000,000)(11,189,615)

189,615(5) Long-term loans payable(105,180,000)(106,464,244)

1,284,244―――(Note 3)Figures in parentheses indicate liabilities.
Methods to determine the fair value of financial instruments:(1) Cash and deposits and (2) Cash and deposits in trust
Due to their short tenors, the carrying values of these assets are reasonable approximations of their present value and hence are used as theirfair value.
(3) Current portion of long-term loans payable and (5) Long-term loans payable
For loans with floating interest rates, since the interest rates on such loans reflect market rates reasonably well over the short term and theircarrying values are good approximations of their fair value, the carrying values are presented as their fair value. However, the fair value offloating-rate long-term loans payable and current portion of long-term loans payable hedged by interest-rate swap transactions subject tospecial accounting treatment (refer to the following section entitled “Notes to derivative transactions”) are calculated by discounting theaggregated principal and interest on such loans, after taking into account the effect of said interest-rate swap transactions, using reasonableestimates of the rates that would be applicable in a similar borrowing.
(4) Investment corporation bonds
The fair value of investment corporation bonds is measured based upon the present value obtained by discounting the total amount ofprincipal and interest at a rate that takes into account the term to maturity and credit risk.
(6) Derivative transactions
Please refer to the following section entitled “Notes to derivative transactions.”
Carrying value of financial instruments whose fair value cannot be reliably measured(Thousands of yen)
17th Fiscal Period(As of January 31, 2019)(1) Tenant leasehold and security deposits(2) Tenant leasehold and security deposits in trust

18th Fiscal Period(As of July 31, 2019)(33,900)(28,595)(2,282,280)(2,517,824)(1)(2) Fair values of tenant leasehold and security deposits and leasehold and security deposits in trust are not subject to disclosure of fair value,as these items have no market value and their future cash flows are difficult to reasonably estimate given the fact that although apredetermined period for each lease contract exists, the actual deposit period cannot be calculated due to possible contract termination,
renewal or extension.
(3) Figures in parentheses indicate liabilities.

60- 38 -

Deposits

7,981,322

Deposits in trust

7,025,009

Total

15,006,331

18th Fiscal Period (As of July 31, 2019)
Due within
1 year or less

(Note 5)

Deposits

9,806,155

Deposits in trust

7,794,604

Total

17,600,759

Repayment and redemption schedule for loans payable and investment corporation bonds (Thousands of yen)―

7,794,604(Note 1)
(Note 2)

Due within
1 year or less17th Fiscal Period (As of January 31, 2019)(2) Cash and deposits in trust(6) Derivative transactions

Redemption schedule for monetary claims (Thousands of yen)
17th Fiscal Period (As of January 31, 2019)

Difference(Note 1)

(1) Cash and deposits(6) Derivative transactions(Note 4)Current portion of
long-term loans
payableLong-term loans
payableInvestment
corporation bonds
Total

Due within
1 year or lessDue after 1 year
to 2 years

Due after 2 years
to 3 years

Due after 3 years
to 4 years

Due after 4 years
to 5 years

Due after 5 years

16,045,000

―

―

―

―

―

―

9,200,000

13,725,000

11,560,000

15,920,000

41,080,000――

3,000,000

1,000,000

1,000,000

3,500,000

16,045,000

9,200,000

16,725,000

12,560,000

16,920,000

44,580,000

Due within
1 year or lessDue after 1 year
to 2 years

Due after 2 years
to 3 years

Due after 3 years
to 4 years

Due after 4 years
to 5 years

Due after 5 years

7,350,000

―

―

―

―

―

―

13,225,000

16,600,000

15,960,000

12,380,000

47,015,000―

3,000,000

1,000,000―

2,000,000

5,000,000

7,350,000

16,225,000

17,600,000

15,960,000

14,380,000

52,015,000

18th Fiscal Period (As of July 31, 2019)

Current portion of
long-term loans
payableLong-term loans
payableInvestment
corporation bonds
Total<Notes to investment securities>
17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable<Notes to derivative transactions>
1. Transactions not subject to hedge accounting
17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable- 39 -

61

2.

Transactions subject to hedge accounting

2.

17th Fiscal Period (As of January 31, 2019)(Thousands of yen)

Hedge accounting
methodType of derivativetransactions

Hedged items

Special treatment
of interest-rate
swap transactions

Receive floating, pay
fixed interest-rate
swap transactions

Long-termloans payable(*1)

43,575,000

43,575,000

43,575,000

43,575,000

18th Fiscal Period (As of July 31, 2019)
Hedge accounting
methodType of derivativetransactions

Hedged items

Special treatment
of interest-rate
swap transactions

Receive floating, pay
fixed interest-rate
swap transactions

Long-termloans payable

Total

(*1)

(*2)

―

(Thousands of yen)Calculation
Contract amountmethod for
Fair value
applicable fair
Maturing after 1 yearvalue
54,670,000

50,970,000

54,670,000

50,970,000

(*2)

―
―

―

*1 Long-term loans payable include the current portion of long-term loans payable.
*2 Interest-rate swap transactions for which the special treatment is applied are accounted for together with long-term loans payable and the underlying
hedged items. As a result, their fair value is included in the fair value of items listed under “(3) Current portion of long-term loans payable” and “(5)Long-term loans payable” in the section entitled “2. Fair value of financial instruments” under the “Notes to financial instruments.”<Notes to retirement benefits>
17th Fiscal Period (As of January 31, 2019)
The disclosure of relevant information is omitted since the Investment Corporation does not have a retirement benefit program.
18th Fiscal Period (As of July 31, 2019)
The disclosure of relevant information is omitted since the Investment Corporation does not have a retirement benefit program.
<Notes to deferred tax accounting>
1. Components of deferred tax assets and liabilities

Statutory tax rate
(Adjustments)
Deductible cash distributions
Provision of reserve for reduction entry
Other
Effective tax rate――

Deferred tax assets
Nondeductible enterprise tax payable
Amortization of leasehold rights
Asset retirement obligations
Subtotal of deferred tax assets
Valuation allowance
Total deferred tax assets
Deferred tax liabilities
Property, plant and equipment
corresponding to asset retirement
obligations
Total deferred tax liabilities
Deferred tax assets (liabilities), net- 40 -

453
20,74533,761
54,960(54,507)453(4,662)(4,351)(4,662)(4,237)(4,351)(3,898)

34.60

34.60

(33.10)(1.63)
0.31
0.18(33.25)(1.50)
0.31
0.16<Notes to related-party transactions>
1. Parent company, major corporate unitholders and other17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable2.

Affiliated companies and other17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable3.

Fellow subsidiary companies and other17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable4.

Directors, major individual unitholders and other17th Fiscal Period (As of January 31, 2019)
Not applicable
18th Fiscal Period (As of July 31, 2019)
Not applicable

18th Fiscal Period(As of July 31, 2019)424
17,781
33,55251,759(51,334)424

18th Fiscal Period(As of July 31, 2019)<Notes to equity in net earnings (losses) of affiliated companies>
17th Fiscal Period (As of January 31, 2019)
The disclosure of relevant information is omitted since the Investment Corporation does not have affiliated companies.
18th Fiscal Period (As of July 31, 2019)
The disclosure of relevant information is omitted since the Investment Corporation does not have affiliated companies.

(Thousands of yen)
17th Fiscal Period(As of January 31, 2019)(%)

17th Fiscal Period(As of January 31, 2019)

Calculation
method for
Fair value
applicable fair
Maturing after 1 year
value

Contract amount

Total

62

Significant differences between the statutory tax rate and the effective tax rate

<Notes to asset retirement obligations>
1. Overview of asset retirement obligations
The Investment Corporation has concluded fixed-term lease contracts with certain landlords, and recognizes asset retirement
obligations concerning the duty of restoration upon the expiry of the lease period with regard to some of these assets.
2.

Calculation of the amount of asset retirement obligations
Asset retirement obligations are calculated based on the remaining period of the fixed-term lease (52 years) as the expectedperiod of use and 1.2% as the discount rate.

- 41 -

63

3.

Changes in the total amount of asset retirement obligations(Thousands of yen)
17th Fiscal Period(From August 1, 2018
to January 31, 2019)
Balance at beginning of period
Increase due to purchase of property, plant andequipment
Adjustment due to passage of time
Balance at end of period

18th Fiscal Period(From February 1, 2019
to July 31, 2019)

96,372

96,972

―

―

600

604

96,972

97,576<Notes to investment and rental properties>
The Investment Corporation owns real estate for rental purposes (including land) in the Tokyo metropolitan area and otherregional areas. The book value, changes during the period and fair value regarding the above real estate for rental purposes are as
follows.
(Thousands of yen)
17th Fiscal Period(From August 1, 2018
to January 31, 2019)18th Fiscal Period(From February 1, 2019
to July 31, 2019)

Book value
Balance at beginning of period

202,842,355

205,972,290

Changes during period

3,129,935

19,933,252

Balance at end of period

205,972,290

225,905,543

Fair value at end of period

244,989,000

272,485,000(Note 1)
(Note 2)

(Note 3)The book value excludes accumulated depreciation from acquisition cost. The book value does not include construction in progress andconstruction in progress in trust.
Among changes in the book value of real estate for rental purposes that occurred during the 17th Fiscal Period, the principal increase consistedof the acquisition of a property (GRANCREER CENTER-MINAMI.; ¥4,313,592 thousand) during the 17th Fiscal Period, while the principal
decrease consisted of the disposition of a property (COMFORIA MINAMIAOYAMA DEUX: ¥255,458 thousand) during the 17th Fiscal Period
and depreciation of ¥1,222,802 thousand. During the 18th Fiscal Period, the principal increase consisted of the acquisition of 10 properties(COMFORIA SHIBUYA WEST and other 9 properties; ¥21,735,797 thousand) during the 18th Fiscal Period, while the principal decrease
consisted of the disposition of a property (COMFORIA KITAHORIE: ¥1,017,869 thousand) during the 18th Fiscal Period and depreciation of¥1,287,661 thousand.
The fair value at end of period is the appraisal value or the survey value determined by outside appraisers.

18th Fiscal Period (From February 1, 2019 to July 31, 2019)
1. Information about each product and service
Disclosure is omitted because net sales to external customers of a single product/service category account for over 90% of
the operating revenues on the Statements of Income.
2. Information about each geographic area
(1) Net sales
Disclosure is omitted because net sales to external customers in Japan account for over 90% of the operating revenues
on the Statement of Income.
(2) Property, plant and equipment
Disclosure is omitted because the amount of property, plant and equipment located in Japan accounts for over 90% of
the amount of property, plant and equipment on the Balance Sheet.
3. Information about each major customer
Disclosure is omitted because there is no single external customer whose net sales account for 10% or more of operating
revenues on the Statements of Income.
<Notes to per unit information>

Net assets per unit

17th Fiscal Period(From August 1, 2018
to January 31, 2019)¥175,964

18th Fiscal Period(From February 1, 2019
to July 31, 2019)¥184,023¥5,405¥5,383

Profit per unit
(Note 1)

Profit per unit was calculated by dividing profit for the period by the daily weighted average number of investment units issued and outstanding.
Profit per unit after adjusting for diluted units is not included because there were no diluted investment units.

(Note 2)The basis for calculating profit per unit is as follows:

Profit (thousands of yen)Amount not attributable to common
unitholders (thousands of yen)
Profit attributable to common
investment units (thousands of yen)
Average number of investment units
for the period (units)

17th Fiscal Period(From August 1, 2018
to January 31, 2019)
3,172,709

18th Fiscal Period(From February 1, 2019
to July 31, 2019)
3,448,336――

3,172,709

3,448,336

586,994

640,564<Note to significant subsequent events>
Not applicable

Income and loss related to real estate for rental purposes, etc. for the 17th Fiscal Period (From August 1, 2018 to January 31,2019) and 18th Fiscal Period (From February 1, 2019 to July 31, 2019) are listed in “Notes to the Statements of Income.”<Notes to segment information>(Segment information)
Disclosure is omitted because the property leasing business is the Investment Corporation’s sole business, with no reportablesegment subject to disclosure.
(Related information)
17th Fiscal Period (From August 1, 2018 to January 31, 2019)
1. Information about each product and service
Disclosure is omitted because net sales to external customers for a single product/service category account for over 90% of
the operating revenues on the Statements of Income.
2. Information about each geographic area
(1) Net sales
Disclosure is omitted because net sales to external customers in Japan account for over 90% of the operating revenues
on the Statements of Income.
(2) Property, plant and equipment
Disclosure is omitted because the amount of property, plant and equipment located in Japan accounts for over 90% of
the amount of property, plant and equipment on the Balance Sheet.
3. Information about each major customer
Disclosure is omitted because there is no single external customer whose net sales account for 10% or more of operating
revenues on the Statements of Income.

64- 42 -- 43 -

65

7. Supplementary schedules(Thousands of yen)(i) Supplementary schedule of investment securities
Not applicable

Property name(ii) Information on contract amount and fair value of derivative transactions and forward exchange contracts
Information on derivative transactions and forward exchange contracts entered into by the Investment Corporation as ofJuly 31, 2019 is as follows.
(Thousands of yen)Classification

Contract amount (Note 1)
Maturing after 1
year

Type

Over-the-counter transactions

Receive floating, pay fixedinterest-rate swap transactions

Total(Note 1)
(Note 2)

Fair value(Note 2)Intangible
assetsProperty, plant and equipment

Buildings
Structures
Machineryand equipment
Tools,
furniture andfixtures
Land
Buildings in
trust
Structures intrust
Machineryand equipmentin trust
Tools,
furniture andfixtures intrust
Land in trust
Constructionin progress in
trust
Total
Leaseholdrights in trust
Other
Total

Decreaseduringperiod2,287,362―

COMFORIA KAMEIDO SOUTH

2,122,215―

COMFORIA SHIBUYA WEST

5,516,173―

COMFORIA HIGASHINIHONBASHI

1,266,295―

COMFORIA ASAKUSAKOMAGATA

1,330,165―

COMFORIA OMORIKASHIMA

916,300―――

COMFORIA OMORIMACHI

1,165,895

54,670,000

50,970,000―

COMFORIA KAMIIKEDAI

1,949,832―

CAMPUS VILLAGE SHIINAMACHI

2,819,493―

COMFORIA TAMA-PLAZA

2,362,061――

1,017,869

COMFORIA KITAHORIE(Thousands of yen)
Accumulated depreciation

IncreaseduringperiodCOMFORIA KINSHICHO DEUX

50,970,000(iii) Condensed supplementary schedule of real estate properties

Balance at
beginning ofcurrent period

Decrease during period

54,670,000

The contract amount of interest-rate swap transactions is based on the notional principal.
Fair value is evaluated based on the value calculated by the counterparty of the contract using market interest rate, etc. Disclosure of fair value
is omitted for the transactions that meet the requirements for special treatment pursuant to the Accounting Standard for Financial Instruments.

Asset type

Increase during periodorBalance at end
Depreciation Net balance ataccumulatedof current
end of currentoramortization
periodperiodamortization
at end ofduringcurrent
periodperiodRemarks(iv) Supplementary schedule of other specified assets
Not applicable(iv) Supplementary schedule of investment corporation bonds
Bond name2,547,500

600

673,750

1,874,351

106,596

28,991

1,767,754（Note）

28,301―

5,927

22,374

3,913

884

18,460(Note)

Balance at
Issuance date beginning ofcurrent period

The Investment
Corporation
July 30, 2014
1st unsecured bonds

Increaseduringperiod(Thousands of yen)

Decrease Balance at end
Coupon Redempti Redemption Use ofduringof current
rate (%) on datemethodfunds
periodperiod3,000,000――

3,000,000

0.64000

July 30, Lump-sum
repayment
2021(Note 2)

Unsecured

July 18, 2017

1,000,000――

1,000,000

0.23000

July 15, Lump-sum
repayment
2022(Note 2)

Unsecured

July 18, 2017

2,000,000――

2,000,000

0.52000

July 16, Lump-sum
repayment
2027(Note 2)

Unsecured

1,000,000――

1,000,000

0.23000

December Lump-sum
14, 2023 repayment(Note 2)

Unsecured1,500,000――

1,500,000

0.95000

June 14, Lump-sum
2033
repayment(Note 2)

Unsecured

Jul. 18, 2019―

1,000,000―

1,000,000

0.23000

Jul. 18,
2024

Lump-sum
repayment(Note 2)

Unsecured

Jul. 18, 2019―1,500,000―

1,500,000

0.90000

Jul. 18,2034

Lump-sum
repayment(Note 2)

Unsecured

8,500,000

2,500,000― 11,000,000(Note 1)

17,687――

17,687

1,736

274

15,951

3,062

―

―

3,062

1,154

265

1,907

4,674,303―

431,262

4,243,040――

4,243,040

The Investment
Corporation 2nd
unsecured bonds(Note 1)

(Note)

93,883,874

5,706,009―

99,589,884

11,731,213

1,159,227

87,858,670（Note）

1,196,527

65,988―1,262,516

346,567

31,507915,949(Note)The Investment
Corporation 3rd
unsecured bonds(Note 1)The Investment
Corporation
June 14, 2018
4th unsecured bonds(Note 1)

1,557,003

71,306―

1,628,309

304,645

28,774

1,323,664(Note)The Investment
Corporation
June 14, 2018
5th unsecured bonds(Note 1)

340,254

45,660―385,914142,123

29,172The Investment
Corporation
6th unsecured bonds

243,791

111,993,547

16,356,495―

128,350,042――

128,350,042

7,277

―

7,277

―

―

―

―

(Note)(Note 1)The Investment
Corporation
7th unsecured bonds(Note 1)

216,249,339

22,246,061

1,118,217

237,377,183

12,637,950

1,279,096

224,739,233

1,226,269――

1,226,269

59,958

8,565

1,166,310

35,496――35,496

21,378

3,549

14,118

1,261,765――

1,261,765

81,337

12,115

1,180,428(Note) Increases and decreases during the 18th Fiscal Period are due primarily to the acquisition and sale of rental residences. The details are as follows.

Total(Note 1)
(Note 2)
(Note 3)

Security

The bonds are subject to the pari passu clause among specified investment corporation bonds.
The funds are appropriated to acquire of real estate in trust and repayment of certain existing borrowings.
The total amount of redemption of investment corporation bonds for each year during the five years following the balance sheet date is as shown
below.
(Thousands of yen)
Due within 1 year
or less―

Due after 1 year
to 2 years
3,000,000

Due after 2 years
to 3 years
1,000,000

Due after 3 years
to 4 years―

Due after 4 years
to 5 years
2,000,000

Due after 5 years
5,000,000- 45 -

66- 44 -

67

(vi) Supplementary schedule of borrowings
Information on the Investment Corporation’s borrowings as of July 31, 2019 is as follows:
Classification
LenderMizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited

3,570,000-

3,570,000-

MUFG Bank, Ltd.
Sumitomo Mitsui Banking
Corporation

3,570,000-

3,570,000-

1,785,000-

1,785,000-

Development Bank of Japan Inc.

1,350,000--

1,350,000

MUFG Bank, Ltd.

2,000,000--

2,000,000

Development Bank of Japan Inc.

1,000,000--

1,000,000

Mizuho Bank, Ltd.

1,000,000--

1,000,000

Sumitomo Mitsui Trust Bank,
Limited1,000,000--

1,000,000

Sumitomo Mitsui Banking
Corporation

500,000--

500,000

1,340,000--

1,340,000

Development Bank of Japan Inc.
Mizuho Bank, Ltd.

670,000
670,000--

670,000
670,000

Sumitomo Mitsui Trust Bank,
Limited

670,000--

670,000

350,000--

350,000

1,820,000
910,000--

1,820,000
910,000

910,000--

910,000

910,000--

910,000

MUFG Bank, Ltd.

Sumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.

Long-term
loans
payable(Note 1)

Balance atBalance atIncrease
Decrease
beginning of
end of current
during period during period
current period
period(thousands(thousands(thousands(thousandsof yen)of yen)of yen)of yen)3,570,000
3,570,000-

Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.

450,000--

450,000

1,200,000--

1,200,000

Development Bank of Japan Inc.

600,000--

600,000

Mizuho Bank, Ltd.

600,000--

600,000

Sumitomo Mitsui Trust Bank,
Limited

600,000--

600,000

Sumitomo Mitsui Banking
Corporation

300,000--

300,000

1,240,000--

1,240,000

Development Bank of Japan Inc.

620,000--

620,000

Mizuho Bank, Ltd.

620,000--

620,000

620,000--

620,000

310,000--

310,000

MUFG Bank, Ltd.
Development Bank of Japan Inc.

1,240,000
620,000--

1,240,000
620,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited

620,000--

620,000

MUFG Bank, Ltd.

Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation

Sumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation

620,000--

620,000

310,000--

310,000

720,000
360,000
360,000--

720,000
360,000
360,000

360,000--

360,000

200,000--

200,000

840,000
420,000--

840,000
420,000

420,000--

420,000

420,000--

420,000

230,000--

230,000

Averageinterest rate(%)
(Note 2)0.560910.90487

0.882400.60150

MaturitydateMarch 23,2019

September
30, 2019

Classification
LenderRepayment
methodLump-sum
repayment

Lump-sum
repayment

January 31, Lump-sum
2021
repayment

June 30,
2020

Lump-sum
repayment

Use offunds(Note 3)(Note 3)(Note 3)(Note 3)

Remarks

Unsecured
Unguaranteed

Unsecured
Unguaranteed

Unsecured
Unguaranteed

Unsecured
Unguaranteed

MUFG Bank, Ltd.

980,000--

980,000

Development Bank of Japan Inc.

490,000--

490,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited

490,000--

490,000

490,000--

490,000

Sumitomo Mitsui Banking
Corporation
Development Bank of Japan Inc.

220,000--

220,000

1,570,000--

1,570,000

MUFG Bank, Ltd.

1,570,000--

1,570,000

Kiraboshi Bank, Ltd.

1,000,000--

1,000,000

Sumitomo Mitsui Trust Bank,
LimitedDevelopment Bank of Japan Inc.

785,000--

785,000

2,000,000--

2,000,000

MUFG Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited2,000,000--

2,000,000

1,000,000--

1,000,000

MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.

1,160,000
580,000
580,000--

1,160,000
580,000
580,000

Sumitomo Mitsui Trust Bank,
Limited

580,000--

580,000

Sumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Mizuho Bank, Ltd.

0.90100

0.69250

0.79875

1.04200

June 30,2022

Lump-sum
repayment

January 31, Lump-sum
2022
repayment

January 31, Lump-sum
2023
repayment

January 31, Lump-sum
2025
repayment(Note 3)(Note 3)(Note 3)(Note 3)

Unsecured
Unguaranteed

Unsecured
Unguaranteed

Unsecured
Unguaranteed

Unsecured
Unguaranteed

Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation

0.62460

March 31,2023

Lump-sum
repayment

August 31, Lump-sum
2023
repayment(Note 3)(Note 3)

Unsecured
Unguaranteed

Unsecured
Unguaranteed- 46 ---

290,000--

1,800,000

900,000
900,000--

900,000
900,000

900,000--

900,000

450,000--

450,000

2,000,000
1,500,000--

2,000,000
1,500,000

The Bank of Fukuoka, Ltd.
The 77 Bank, Ltd.

1,000,000
500,000--

1,000,000
500,000

500,000
1,160,000--

500,000
1,160,000

580,000
580,000--

580,000
580,000

580,000--

580,000

Long-term The Daishi Bank, Ltd.
loans
MUFG Bank, Ltd.
payable Development Bank of Japan Inc.
(Note 1)
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation

290,000--

290,000

1,820,000--

1,820,000

Development Bank of Japan Inc.
Mizuho Bank, Ltd.

910,000
910,000--

910,000
910,000

Sumitomo Mitsui Trust Bank,
Limited

910,000--

910,000

MUFG Bank, Ltd.

Sumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.

Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.
Development Bank of Japan Inc.

450,000--

450,000

1,140,000--

1,140,000

570,000
570,000--

570,000
570,000

570,000--

570,000

300,000--

300,000

1,140,000
570,000--

1,140,000
570,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
Sumitomo Mitsui Trust Bank,
Limited

570,000--

570,000

570,000--

570,000

300,000--

300,000

100,000-

100,000-

MUFG Bank, Ltd.
Development Bank of Japan Inc.

1,040,000
520,000--

1,040,000
520,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited

520,000--

520,000

520,000--

520,000

260,000--

260,000

Sumitomo Mitsui Banking
Corporation

68

290,000
1,800,000

Mizuho Trust & Banking Co., Ltd.
The Norinchukin Bank

Development Bank of Japan Inc.
Mizuho Bank, Ltd.

0.58430

Balance atBalance atIncrease
Decrease
beginning of
end of current
during period during period
current period
period(thousands(thousands(thousands(thousandsof yen)of yen)of yen)of yen)- 47 -

Averageinterest rate(%)
(Note 2)

Maturity
date

Repayment
methodUse offunds

Remarks

0.67745

February29, 2024

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.27125

March 31,2021

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.61950

March 31,2025

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.46655

July 31,2024

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.65518

July 31,2026

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.46691

January 31, Lump-sum
2022
repayment(Note 3)

Unsecured
Unguaranteed

0.62938January 31, Lump-sum
2024
repayment(Note 3)

Unsecured
Unguaranteed

0.79571

January 30, Lump-sum
2026
repayment(Note 3)

Unsecured
Unguaranteed

0.49054

September
30, 2022

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.77571

September
30, 2026

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.26091

February28, 2019

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.65428January 31, Lump-sum
2025
repayment(Note 3)

Unsecured
Unguaranteed69Classification
LenderShinkin Central Bank

1,300,000--

1,300,000

The Norinchukin Bank

1,300,000--

1,300,000

The Bank of Fukuoka, Ltd.
Mizuho Trust & Banking Co., Ltd.

1,300,000
1,000,000--

1,300,000
1,000,000

MUFG Bank, Ltd.
Mizuho Bank, Ltd.

2,700,000
1,350,000--

2,700,000
1,350,000

Sumitomo Mitsui Banking
Corporation

600,000--

600,000

Nippon Life Insurance Company

500,000--

500,000

Taiyo Life Insurance Company

500,000--

500,000

Resona Bank, Limited

1,000,000--

1,000,000

Mizuho Bank, Ltd.

700,000-

700,000-

Sumitomo Mitsui Trust Bank,
Limited

700,000-

700,000-

MUFG Bank, Ltd.

350,000-

350,000-

350,000-

350,000-

550,000--

550,000

Sumitomo Mitsui Trust Bank,
Limited

550,000--

550,000

Development Bank of Japan Inc.

550,000--

550,000

MUFG Bank, Ltd.
Sumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.

275,000--

275,000

275,000--

275,000

550,000--

550,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited

550,000--

550,000

550,000--

550,000

Development Bank of Japan Inc.
Sumitomo Mitsui Banking
Corporation

550,000--

550,000

300,000--

300,000

MUFG Bank, Ltd.
Mizuho Bank, Ltd.

670,000
670,000--

670,000
670,000

670,000--

670,000

320,000--

320,000

670,000--

670,000-

830,000

830,000--

830,000

830,000--

420,000

420,000--

420,000

420,000--

700,000-

700,000

Sumitomo Mitsui Trust Bank,
Limited

-700,000-

700,000

MUFG Bank, Ltd.

-

350,000-

350,000

Sumitomo Mitsui Banking
Corporation-

350,000-

350,000

Development Bank of Japan Inc.

-

700,000-

700,000

MUFG Bank, Ltd.

-

800,000-

800,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.

-

800,000-

800,000-

800,000-

800,000-

400,000-

400,000-

800,000-

800,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation
MUFG Bank, Ltd.

-

800,000-

800,000-

800,000-

800,000-

400,000-

400,000-

1,000,000-

1,000,000

Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
LimitedSumitomo Mitsui Banking
Corporation-

1,000,000-

1,000,000-

1,000,000-

1,000,000-

500,000-

500,000

Sumitomo Mitsui Banking
Corporation
Mizuho Bank, Ltd.

Long-term Sumitomo Mitsui Trust Bank,
loans
LimitedpayableSumitomo Mitsui Banking(Note 1)
Corporation
Development Bank of Japan Inc.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank,
Limited
MUFG Bank, Ltd.
Sumitomo Mitsui Banking
Corporation
Mizuho Bank, Ltd.

70

Balance atBalance atIncrease
Decrease
beginning of
end of current
during period during period
current period
period(thousands(thousands(thousands(thousandsof yen)of yen)of yen)of yen)- 48 -Classification

Averageinterest rate(%)
(Note 2)

Maturity
date

Repayment
method

0.45804

March 31,2023

0.62188

March 31,2025

Use offunds

Remarks

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

Lump-sum
repayment(Note 3)0.55126

January 31, Lump-sum
2024
repayment(Note 3)0.73497

August 31, Lump-sum
2026
repayment(Note 3)

Unsecured
Unguaranteed
Unsecured
Unguaranteed
Unsecured
Unguaranteed

Lender
MUFG Bank, Ltd.

-

970,000-

970,000

Mizuho Bank, Ltd.

-

970,000-

970,000

Sumitomo Mitsui Trust Bank,
Limited

-970,000-

970,000-

485,000-

485,000-

525,000
525,000-

525,000
525,000-

525,000-

525,000

Sumitomo Mitsui Banking
Long-term Corporationloans
payable Mizuho Trust & Banking Co., Ltd.
(Note 1) The Norinchukin Bank
The Bank of Fukuoka, Ltd.

0.85667

October 31,
Lump-sum2019
repayment(Note 4)

March 31,2027

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

Unsecured
Unguaranteed(Note 1)
(Note 2)
(Note 3)(Note 4)(Note 5)(Note 6)

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.39950January 31, Lump-sum
2025
repayment(Note 3)

Unsecured
Unguaranteed

0.49994

January 31, Lump-sum
2025
repayment(Note 3)

Unsecured
Unguaranteed

0.26202

March 31,2020
(Note 5)Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.54500

September
30, 2026

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.57826

September
30, 2026

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.19776

September
30, 2020

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.24276

March 31,2022

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.45215

September
30, 2025

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

July 31,2023

Repayment
methodUse offunds

Remarks

0.60810

September
30, 2027

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

0.42850

March 31,2026

Lump-sum
repayment(Note 3)

Unsecured
Unguaranteed

March 31,2020-

Lump-sum
repayment--

525,000-

525,000-

2,300,000-

2,300,000

0.26228

107,530,000

22,195,000

17,195,000

112,530,000-

107,530,000

22,195,000

17,195,000

112,530,000(Note 3)-

Unsecured
Unguaranteed-

Long-term loans payable include the current portion of long-term loans payable.
The average interest rate is the interest rate for each loan contract rounded to the fifth decimal place. As for the borrowings hedged byinterest-rate swap transactions in order to avoid interest rate fluctuation risk, the interest rates reflect the effect of interest-rate swap transactions.
The use of funds is mainly for the acquisition of real estate in trust and repayment of existing borrowings, etc.
The amount was repaid in full ahead of schedule on March 20, 2019.
The amount was repaid in full ahead of schedule on July 26, 2019.
The total amount of repayment of long-term loans payable for each year during the five years following the balance sheet date is as shown below.
(Thousands of yen)
Due within 1
year or less
7,350,000

0.43105

Maturitydate

Mizuho Trust & Banking Co., Ltd.
Total

(Note 3)

Averageinterest rate(%)
(Note 2)

Shinkin Central Bank

Subtotal
0.26091

Balance atBalance atIncrease
Decrease
beginning of
end of current
during period during period
current period
period(thousands(thousands(thousands(thousandsof yen)of yen)of yen)of yen)Due after 1 year
to 2 years

Due after 2 years
to 3 years

Due after 3 years
to 4 years

Due after 4 years
to 5 years

Due after 5 years

13,225,000

16,600,000

15,960,000

12,380,000

47,015,000- 49 -

71

72